SNX price could be propelled to $27 thanks to L2 staking on Synthetix
- SNX price is contained inside a descending triangle pattern on the 12-hour chart.
- The Staking application of Synthetix is now compatible with Optimistic Ethereum on L2.
- SNX is on the verge of a massive 43% breakout if key level breaks.
SNX has managed to confirm an uptrend on the 12-hour chart and is aiming for a significant breakout towards new highs. The platform has just recently made L2 staking on the Optimistic Ethereum network compatible with its staking dApp.
Synthetix integrates Optimistic Ethereum on L2 into its staking dApp
The Synthetix decentralized staking application is now compatible with the Optimistic Ethereum network on Layer 2. Back in January 2021, SNX announced that staking on Synthetix will be live on the L2 Optimistic Ethereum network. Now the SNX staking dApp is compatible with the Layer 2 network and allows users to benefit from the better interface and features.
Layer 2 solutions have been extremely popular in the past year as Ethereum fees skyrocketed while other chains like the Binance Smart Chain started to take over.
SNX price is one key resistance level away from 43% breakout
On the 12-hour chart, SNX has established a descending triangle pattern with a resistance trendline formed at $19.10. A breakout above this key level will push SNX towards $27.2 in the long term. A 43% move calculated using the height of the pattern as a reference point.
SNX/USD 12-hour chart
The In/Out of the Money Around Price (IOMAP) chart shows weak resistance ahead. The strongest area is located between $18.9 and $19.48 with 4.3 million SNX in volume, coinciding with the upper trendline of the pattern. Aggressive buyers can enter a long position on SNX now before the potential breakout as the IOMAP also indicates that Synthetix has a lot of support on the way down.
SNX IOMAP chart
Nonetheless, another rejection from the upper boundary of the pattern will drive SNX price down towards the area between $16.5 and $17.7 indicated by the IOMAP model.
Author
Lorenzo Stroe
Independent Analyst
Lorenzo is an experienced Technical Analyst and Content Writer who has been working in the cryptocurrency industry since 2012. He also has a passion for trading.
