Synthetix (SNX) rallies in anticipation of L2 Curve Wars and Optimism airdrop announcement

2 years ago

Layer-two (L2) solutions for the Ethereum (ETH) web person grown successful prominence implicit the past twelvemonth due to the fact that of the request for scalable networks that connection low-fee transactions and led to galore projects that built cross-chain bridges with competing blockchain networks.

One task that has benefitted from the maturation of the L2 scaling solutions is Synthetix (SNX), a decentralized concern (DeFi) protocol that enables the instauration of synthetic assets and offers vulnerability to derivatives and futures trading connected blockchain.

Data from Cointelegraph Markets Pro and TradingView shows that since hitting a debased of $4.44 connected April 11, the terms of SNX rallied 52.6% to deed a regular precocious astatine $6.78 connected April 26 earlier a wide marketplace downturn dropped it backmost down to $5.90.

While the bulk of the marketplace is down, determination are imaginable catalysts for SNX terms to spot further appreciation.

Launch connected Optimism

One of the biggest developments for the Synthetix protocol was its motorboat on Optimism, a L2 web which is making waves this week acknowledgment to an airdrop announcement. SNX staking began connected Jan. 16 and arsenic the web grows, speculators are giddy astatine the imaginable of aboriginal airdrops and staking incentives.

Most recently, Synthetix utilized its motorboat connected Optimism to get much progressive successful the “Curve Wars” and currently, it is offering the highest bribe to get veCRV voters to incentivize voting for the sUSD Curve pool.

Synthetix has besides partnered with Lyra Finance (LYRA) to connection 12,000 SNX and 50,000 LYRA per week arsenic an added inducement for veCRV voters.

L2 airdrop play could beryllium a catalyst for SNX

A 2nd crushed the terms of SNX has the imaginable to spot further appreciation is traders' anticipation that an airdrop play for L2 protocols could occur.

There has been a important magnitude of speculation that Optimism and Arbitrum, 2 of the astir fashionable L2 networks successful the crypto ecosystem, would yet airdrop their protocol tokens to aboriginal adopters of the networks.

This speculation became world aft Optimism released the archetypal details of the Optimism Collective, a “large-scale experimentation successful integer antiauthoritarian governance” that is “built to thrust accelerated and sustainable maturation of a decentralized ecosystem.”

Along with the motorboat of the Optimism Collective comes the motorboat of the OP governance token, of which 5% of the archetypal proviso volition beryllium airdropped to aboriginal adopters. For those who did not suffice for the archetypal airdrop round, determination is inactive a accidental to suffice for aboriginal airdrops by being progressive connected the web utilizing protocols similar Synthetix.

With Synthetix offering futures trading connected Optimism, the protocol could payment from users seeking ways to beryllium progressive connected the web and this could summation request for SNX.

On apical of the imaginable to person an OP airdrop, SNX holers person besides been lured to Optimism by the 81% staking rewards presently being offered by the protocol.

Climbing idiosyncratic basal and measurement transacted

Further grounds of the rising popularity of Synthetix tin beryllium recovered looking astatine the platform's metrics connected Optimism, which person been steadily expanding for the past period according to data from Dune Analytics.

As shown successful the graphic above, the fig of unsocial traders connected the protocol has been climbing since launching futures trading successful mid-March and the protocol has handled astir $1.59 cardinal successful full volume.

VORTECS™ information from Cointelegraph Markets Pro began to observe a bullish outlook for SNX connected April 23, anterior to the caller terms rise.

The VORTECS™ Score, exclusive to Cointelegraph, is an algorithmic examination of humanities and existent marketplace conditions derived from a operation of information points including marketplace sentiment, trading volume, caller terms movements and Twitter activity.

As seen successful the illustration above, the VORTECS™ Score for SNX climbed into the greenish portion and deed a precocious of 77 connected April 23, astir 39 hours earlier the terms spiked 28% implicit the adjacent day.

The views and opinions expressed present are solely those of the writer and bash not needfully bespeak the views of Cointelegraph.com. Every concern and trading determination involves risk, you should behaviour your ain probe erstwhile making a decision.

View source