The global cryptocurrency market cap has gained around 7% during the past 24 hours. The gains have created optimism that the bear market could be over and that the market could be headed for higher levels.

During the past 24 hours, WAVES’ performance has stood out. The token ranks as a top performer, having gained around 75%. The gains have been attributed to strategic developments within the Waves ecosystem.

WAVES gains 75%

At the time of writing, WAVES was trading at $8.19, according to data from CoinGecko. This price is a seven-day high for the coin. While the price is still 87% below the all-time high of $61, the positive developments in the ecosystem could signal further gains to come.

Cryptoassets are a highly volatile unregulated investment product.

Before the bullish rally, WAVES was trading at $4.44. The token has managed to break several crucial resistance levels during the period, and it is currently aiming for the next major resistance at $10.

The current gains made by the token could hold because of buying pressure. Traders are looking for tokens with strong price action, and with the trend demonstrated by WAVES during the past 24 hours, the pump could continue, at least for the short term.

Team announced revival plan

Before the famous Terra USD (UST) crash, another algorithmic stablecoin (USDN) had depegged. USDN is a stablecoin on the Waves network, and it depegged in April, a month before the UST crash.

The depegging of USDN was caused by an outflow of USDN liquidity from Curve Finance. Shortly after this happened, Vires Finance, a lending protocol on the Waves network, also experienced issues with liquidity.

The Vires Finance crisis happened after lenders were spooked by the crash of USDN and WAVES, prompting them to withdraw their positions from the protocol. USDN is close to achieving its peg, and it is trading at around $0.99 at the time of writing.

However, the liquidity crisis is yet to be resolved. However, the Waves development team has come up with a revival plan for the project and a way of maintaining the viability of decentralized finance (DeFi) projects within its network.

To reach full recovery, the Waves team has formulated a three-step plan. The first step is to assess the issues that triggered the depegging and massive outflow of liquidity from protocols within the ecosystem.

Once these issues are identified, the second step is to fix them. The third step involves restoring the Waves network to what it previously was. At the top of the list is reinstating the USDN peg because the collapse of the stablecoin was the trigger for everything else that happened. USDN is nearly at $1 again.

To solve the liquidity crisis, the liquidation threshold for WAVES/USDN/EURN can be set to 1, and the maximum borrow APR for assets will be 400. This will prompt borrowers to repay their loans before their positions are liquidated. Waves has also set a daily withdrawal limit for USDN, USDT, and Vires Finance.

Read more: Waves Crypto Price Prediction

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