• Liquity is a decentralized borrowing protocol that surged more than 60% in the last 24 hours.
• Parity played a pivotal role as it acted both as resistance and support for this cryptocurrency.
• A break above $3 should not be ruled out, but investors should remain aware of any moves below parity.
Liquity Surges 64% in 24 Hours
Liquity, a decentralized borrowing protocol, has surged over 60% against the US dollar in the last 24 hours. This impressive rally makes it possible for Liquity to break its all-time high.
Parity Plays Key Role
Since its inception, Liquity has been affected by the overall bearishness seen in the cryptocurrency market – dropping from $3 to below $0.6 with each rally being met with further selling. However, an interesting observation is that parity (or the $1 level) has played an important role: while below it offered resistance and while above it provided support for this crypto asset’s price action. The latest breakout above parity led to this recent surge and investors will have to keep an eye on whether or not Liquity can maintain prices above this level.
Will It Make a New All-Time High?
So far, the price of Liquity has been capped at around $2.8 but there is potential for further gains if it continues trading above parity – although any move below this critical level could change the narrative drastically and put bullish investors at risk of losses.
What Is Liquity?
According to its official documentation, investors get access to an immutable, capital-efficient, and fully decentralized protocol when investing in Liquity – allowing them to draw interest-free loans against Ether without facing counterparty risk or any hidden fees or costs associated with traditional loan services.
The surge of over 60% seen by Liquity’s token LQTUSD signals that a new all-time high may be on its way if prices remain trading above parity – however, caution must be taken as any move below this key level could cause major losses for those who are expecting bullish outcomes from their investments in this crypto asset.