UMA, the native cryptocurrency of the Universal Market Access protocol has witnessed a strong rally gaining over 80% in the last 12 hours. At press time, UMA is trading at $3.79 with a market cap of $283.5 million.

UMA Price Leads to $3 Million Short Liquidations

As per data from Coinglass, the sudden UMA price rally has led to $3 million in short liquidations over the last 24 hours. On the other hand, the trading volumes have also shot up by a staggering 2000% to $284 million.

Universal Market Access is a prominent entity in the blockchain sector, specializing in oracle solutions. It positions itself as a decentralized truth network dedicated to recording and validating data on the blockchain.

DeFi Llama ranks UMA as the 9th largest Oracle network globally, trailing behind major players such as Chainlink, Chronicle, WINKLink, Pyth, and Binance Oracle.

One of the major reasons behind the UMA price rally is strong network growth. As per Dune Analytics, both UMA and oSnaps have experienced a surge in their Total Value Secured (TVS), reaching an all-time high of over $774 million.

This increase in TVS coincided with a growing number of companies joining the UMA network. Index Coop, a firm specializing in decentralized structured products, recently joined the network, marking its presence. B Protocol, a DeFi economic mitigation hub, is another recent addition to the UMA network.

Bullish Momentum with Upcoming Oval Launch

As the highly anticipated Oval launch of the Universal Market Access protocol approaches next week, the cryptocurrency is experiencing a notable surge. Developers, in a recent tweet, expressed confidence that the upcoming service would play a crucial role in mitigating risks within the decentralized finance (DeFi) industry, specifically addressing the challenge of maximal extractable value (MEV).

According to data from Coinglass, UMA’s total futures open interest has skyrocketed to a record-high of $47 million, signaling a robust demand for the token in the futures market.

Despite the inherent volatility of the cryptocurrency market, UMA is poised to maintain a stable trajectory. Market analysts are predicting a minimum trading price of $7.54 and an average trading price around $9.43.

Looking ahead, the Universal Market Access protocol is gearing up for a transformative year in 2024. Industry experts are optimistic about a substantial increase in UMA’s value, with projections potentially surpassing the $11.96 mark. This positive outlook is attributed to its expanding partnerships and innovative initiatives within the dynamic crypto space.

The post UMA Price Jumps 80% In A Day With $3 Million Shorts Liquidated, Here’s Why appeared first on CoinGape.

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Filed under: News - @ January 1, 1970 12:00 am