Velodrome’s VELO soars after Binance listing as a rare pattern forms

Velodrome Finance’s price rose after being listed by Binance and reached a yearly high.

Velodrome Finance (VELO), one of the largest players in the Optimism (OP) ecosystem, is up 810% from its lows this year to $0.0335. This rise brought the total market value to over $282 million.

VELO’s breakthrough came after Binance, the largest crypto exchange in the industry, listed its token with the seed tag. This listing will provide the opportunity to reach millions of customers using the Binance platform.

CoinGecko’s data shows that most VELO tokens are traded on exchanges such as MEXC, OKX, Gate, and XT. Therefore, due to Binance’s scale, there is a possibility that its volume will increase in the next few days.

Historically, cryptocurrencies rise when they are listed by major exchanges. But these gains are often short-lived as the excitement fades.

Velodrome has become one of the top players in the decentralized finance industry. Its total value locked has reached over $100 million, while DEX volume in the last seven days has reached over $700 million. This makes it larger than other popular Optimism DEX networks such as Uniswap (UNI), WOOFI, Beethoven, and Curve Finance.

Cumulatively, Velodrome Finance seized over $20 billion in assets; This trend may continue as the crypto bull run accelerates. Most DEX networks, led by Raydium and Uniswap, have seen a sharp increase in volume this year, with November volumes reaching over $371 billion.

Velodrome Finance price has further upside VELO price chart | Source: crypto.news

The daily chart shows that VELO price has been in a strong upward trend over the past few months. It recently retested the key resistance level at $0.030, its May 10 high.

This was an important level as it was the upper side of the cup and handle pattern. Even the creation of the handle part has been completed. C&H is a popular bullish continuation sign.

Velodrome price also moved above the 50-day and 100-day moving averages. Therefore, there is a possibility that the token will continue to rise in the long term. By measuring the depth of the cup, we can predict that VELO price will eventually jump to $0.054, which is approximately 109% above the current level.