ACH spikes as Alchemy Pay unveils plans for a new chain

The Alchemy Pay token created a “God candle” on October 28, after developers announced plans to launch Alchemy Chain.

Alchemy’s (ACH) token rose to $0.020, its highest level since October 25 and 20% above last week’s low.

In a blog post, the developers stated that Alchemy Chain will be built on the Solana Virtual Machine architecture to support the growing needs of the payment platform.

The new chain aims to allow Alchemy to process transactions faster, at lower cost, and in a highly secure environment. Its security will be based on the Trusted Proof of Authority mechanism, which helps ensure the integrity and speed of validating nodes.

We explain the launch plan #AlchemyChainIt is an ultra-scalable Layer-1 blockchain designed to combine fiat and crypto in a frictionless payment system.

⚡High scalability adopts SVM
🔒Innovative Reliable PoA security
💸 $ACH & fiat support for gas fees
⛓On-chain gains for Fiat… pic.twitter.com/sCgdIhAelG

— Alchemy Pay|$ACH: Fiat-Crypto Payment Gateway (@AlchemyPay) 28 October 2024

Additionally, Alchemy Chain will have a meme launchpad to help developers create and launch meme coins, and the Meme Telegram Bot will help creators navigate the ecosystem.

Alchemy Pay aims to enter one of the leading segments of the crypto industry by launching its meme launchpad. Pump.fun, the first meme coin generator on Solana (SOL), has made it easy for people to launch their coins. Data shows that the value of Pump.fun tokens is currently over $2.1 billion.

Similarly, the market cap of Tron (TRX) meme coin creator SunPump has risen to over $276 million.

Alchemy Pay joins other players in the crypto industry with plans for an independent chain. Coinbase launched Base, a layer-2 network, in 2023 and has since become a dominant player in the industry. More recently, Uniswap (UNI), the largest decentralized exchange, announced plans for UniChain, a layer-2 network aimed at streamlining its offerings. dYdX also launched its own chain in 2023.

Alchemy Pay has become the latest player in the crypto industry to announce plans for its independent chain. In 2023, Coinbase launched its layer 2 network Base, a project that has now become a dominant player in the industry.

ACH token created a God candle ACH chart by TradingView

The daily chart shows that the Alchemy Pay token is forming a “God candle” or sudden massive bullish move as investors react positively to the upcoming Alchemy Chain project.

The token broke above the key resistance point of $0.01795, the low point on October 10 and October 3. It also broke above the 50-day moving average and the 38.2% Fibonacci Retracement level.

As the momentum from the Alchemy Chain announcement fades, the token may see a pullback in the coming days. In such a case, the token could retest the key support at $0.01900. A move above the $0.02 resistance could signal more gains.