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Binance introduces LSK futures – a catalyst for a new uptrend

Posted:Jan 29, 2024 14:41 Category: Blockchain , Crypto , Fintech , Posted by Lea Hogg

Binance has diversified its trading options to enhance user experience with the introduction of a new trading product, the USD-M LSK Perpetual Contract.

This contract offers up to 50 times leverage. It features a funding rate of +2.00 percent / -2.00 percent, with fees assessed every four hours. Some liquidity providers will also enjoy reduced maker fees for about two weeks. The contract’s specifications, including leverage and margin requirements, may change based on market risks. Users can also trade with various collateral assets in Multi-Asset Mode.

Impact on LSK’s price

The introduction of such listings usually influences the spot price of the underlying asset. With LSK’s price having been in a sideways range for more than 70 days, this new trading product could potentially trigger an uptrend.After reaching an all-time high of $11 on 4 May 2021, Lisk’s price entered a prolonged bear market, falling to its furthest horizontal support zone of $0.70 by January 2023. Despite a minor recovery to $1.50, it fell back to its support zone in September of the same year.

This marked the beginning of a new uptrend, which led to a short-lived spike in Lisk’s price to $2.30 on 2 January 2024. The price then reverted to the upper level of the support zone of $1. On January 24, a new spike to $1.30 was observed, indicating some bullish tendencies. However, the price has generally been moving sideways since November 10 of the previous year.

Predicting LSK’s Price

A closer look at the four-hour chart reveals that Lisk bounced from the $1 support, which coincides with the 0.618 Fibonacci retracement level. This suggests a strong possibility of a new larger uptrend commencing.

With two sub-waves of a higher degree five-wave impulse, Lisk’s target for wave three typically lies at the 1.618 Fibonacci extension level. Projecting the target with this tool aligns it with the upper resistance zone around $2.30, further reinforcing this possibility.

The recent spike could mark the start of this uptrend. However, for this to hold true, Lisk’s price needs to remain above $1 during the current downturn and preferably make a higher low. If these conditions are met and Lisk’s price begins to rise again, the $2.30 target would be highly probable.

 

Related topics:

Stop Press: AIBC Eurasia takes place in Dubai between 25-27 February 

Binance suspends new UK customer sign ups in wake of regulation (aibc.world)

Tether Cryptocurrency ‘ concerns of money laundering and scams (aibc.world)

 

 

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