KAVA in danger of erasing gains after 40% spike – here’s what happened?
KAVA price jumped more than 40% despite the overall market lull, reaching highs of $1.56 on Binance.
While there was no clear trigger for the surge, Kava has had a few major developments in recent weeks.
KAVA currently trades around $1.17 and is in danger of giving up all the gains if profit taking deals intensify.
The price of KAVA is up about 9% in the past 24 hours as at 9:30 am ET on Tuesday, 23 May. The KAVA/USD pair is trading around $1.16 amid increasing pressure from profit takers.
But before the current sell-off pressure, the price of the Cosmos zone token had rallied more than 40% to hit its highest level since November 2022.
Kava price sliding after rally to multi-month high
The price of KAVA rose to $1.56 on leading cryptocurrency exchange Binance, with the token spiking 44% from lows of $1.08. The token’s value was up nearly 63% in the past 30 days.
Kava price jumped more than 40% on Tuesday morning as shown in this chart. Source: TradingView
Kava is a highly scalable Layer-1 blockchain that combines the speed and interoperability of Cosmos and the developer power of the Ethereum Virtual Machine (EVM). There was no apparent trigger for the huge move today. However, here’s why the token’s value might have rallied so hard for a brief moment before investors likely started taking profits.
Although likely a normal pump episode, the price gains follow the recent launch of the KAVA 13 mainnet and the announcement of a new integration with a leading data indexing platform SubQuery. SubQuery’s indexer tool is available across Osmosis, Cronos and Fetch.ai in the Cosmos ecosystem.
The blockchain developer toolkit is also available for Web3 developers across Ethereum, Polygon, BNB, Flare, NEAR, Polkadot, Avalanche, and Algorand. It is offered as a data-as-a-service solution that allows users to focus on core project use cases and the front-end, all without having to first build a custom backend for data processing.
Kava also announced a $5000 giveaway as it celebrated the launch of NFTs and GameFi on its chain.
NFTs and GameFi are coming to Kava! To celebrate $5,000 is up for grabs in $KAVA and $PVP.
How to participate:
❤️ Follow @PvPGameHub and @KAVA_CHAIN
❤️ Like and RT this tweet
❤️ Tag 3 friends with #KAVA
PVP is a massive gaming hub launching exclusively on Kava 🚀 pic.twitter.com/hPRCWXHTwE
— Kava (@KAVA_CHAIN) May 16, 2023
What next for the KAVA price?
Today’s price surge for KAVA appears to have been an outlier of sorts given the overall outlook of the crypto market. It’s possible such gains will not hold and any correction that follows could wipe all the upside movement.
KAVA/USD might thus retreat to support at $1.10 or lower if current levels near $1.20 fail to hold. On the flipside, an uptick across the market or fresh pump based on new KAVA news could see buyers target a retest of today’s highs.
The post KAVA in danger of erasing gains after 40% spike – here’s what happened? appeared first on CoinJournal.
