Though the DeFi hype has somewhat subsided in the last couple of weeks, the sector undoubtedly embodies the level of innovative edge potent enough to inspire another wild price rally soon. Hence, DeFi remains one of the few guaranteed investment opportunities amid these increasingly uncertain times. However, as it is with every emerging market projected for growth, several factors are fueling the DeFi landscape and positioning it for another round of mouthwatering price movements. Some of these growth-enabling narratives are most likely going to spur an upsurge in the price of Level01’s LVX token.
Why Is LVX Poised for An Upswing?
Since its launch, LVX experienced remarkable price movements along with other tokens at the heart of the DeFi boom. A relatively quick price surge to $0.76 was recorded, followed by a rather steep drop-off. Early investors have taken profit, which often triggers some bearish price momentum. Every price drop is a golden opportunity for onlookers to get in on the action, however. With the current value just below $0.20, now is a good time to enter this market. The interest in LVX continues to surge even though Level01 is targeting the derivatives market as opposed to the likes of Maker and Compound capitalizing on the increase in demand for decentralized lending platforms. This connotes that the use cases of LVX are compelling enough to attract the attention of investors and new users, despite lending protocols dominating the DeFi landscape. And so, the argument for LVX borders on the current spike in activities recorded on the Level01 platform.
Major Partnership Announcement Imminent
Sources close to the matter have informed of how Level01 is in the process of finalizing the details on a major partnership. This new partner, a global and renowned corporation, will bring much exposure to Level01. Furthermore, it will validate what the team has been doing, as well as add more value to investors and users alike.
Forging key collaboration is crucial to raise awareness of what Level01 can bring to the table. For investors eyeing LVX as a potential addition to their portfolio, scooping some up ahead of this major partnership being officialized can prove to be a worthwhile option. Gaining global recognition is often a prominent price catalyst for crypto assets and tokens.
China-Based Traders Increasingly Utilize the Level01 Trading Ecosystem
While the LVX previous price rally is, to a large extent, linked to the DeFi boom, its next price uptick will be as a result of a more sustainable and compelling factor. In recent weeks, Level01 has recorded an increase in its user base, thanks to the influx of Chinese traders looking to take advantage of the platform’s sophisticated, cost-effective, and decentralized trading infrastructure. With level01, traders can initiate peer-to-peer derivatives trades without the inputs of third-parties. Besides, the platform allows multi-markets trading. In other words, traders have access to Forex, commodity, and crypto derivatives. And ever since the platform launched on Google Play store, the number of engagements emanating from China has soared. If this continues, LVX will surely experience a price upswing, since the token is crucial to the core operations of the decentralized trading infrastructure.
The Increasing Demand for Derivatives in China
After weeks of economic inactivity due to the coronavirus pandemic, China’s economy is currently undergoing a rebound. This has led to a remarkable surge in market activity. As such, the derivatives market in China is on the rise, and it has begun to rub off on platforms enabling derivatives/options trading facilities. Hence, it comes as no surprise that the Level01 app has become popular in this region, seeing that it offers fast and transparent p2p derivatives trades.
LVX Has an Added Advantage Over Other Defi-Enabled Derivative Platforms
As stated earlier, the DeFi craze is not ending anytime soon. While this is a given, the next phase of growth will predominantly focus on DeFi protocols with real and innovative applications. If this is the case, then expect LVX to emerge as one of the tokens to benefit from the DeFi renaissance. Level01 is disrupting the derivatives market said to be worth over $1 quadrillion. Likewise, it has implemented innovative functionalities for the quick execution of trades and instant settlements.
For one, the platform has developed a proprietary AI algorithm called Fairsense, which allows traders to analyze the risks and rewards of trades by providing a real-time and fair pricing system. And judging by the uniqueness of this AI functionality and its absence in all other decentralized derivatives exchanges, Level01 has strategically positioned itself as a force to be reckoned with in the decentralized financial space. Thus, there is every reason to anticipate a potential uptick in the price of LVX.