Coin98’s C98 token will have a ‘short-term’ value in February 2024 — here’s why
PATNA (CoinChapter.com) — Coin98 recently announced a partnership to enhance the usability and security of its ecosystem. However, despite these efforts, the project’s native token, C98, may face bearish headwinds.
Coin98 is a DeFi ecosystem with DEX, wallet, and cross-chain bridging services.
The blockchain platform aims to facilitate seamless interaction with multiple blockchain networks, allowing users to exchange, stake, rent and lend cryptocurrencies across a variety of blockchains without relying on centralized exchanges.
Despite the recent uptick, the C98 price remains well below its all-time high of $6.66. With the broader cryptocurrency market abuzz with the approval of the spot Bitcoin ETF and hopes for similar performance to the Ethereum ETF, the Coin98 token could continue its upward trajectory.
Security and utility improvements in progress
Coin98’s recent integration with First Digital Custody aims to address a critical aspect of digital asset management: security. This partnership provides individual and institutional investors with a secure storage solution for C98 tokens.
In line with the growing demand for safe investment vehicles, Coin98’s partnership with First Digital could potentially drive institutional participation deemed essential to market growth and stability.
At the same time, Coin98 has sought to expand the utility of its C98 token through a partnership with Starship, a multi-chain, community-driven fundraising platform.
This initiative will allow C98 holders to use their tokens for fundraising activities, deepening their participation within DeFi and the wider Web3 ecosystem beyond their trading utility.
Additionally, Starship integration can help strengthen investment opportunities and increase the utility of the C98 token across multiple chains.
Coin98’s C98 Token Faces Downside Risk
The C98 token price rose almost vertically on February 12, and the resulting rally pushed the Coin 98 token price up more than 46%, reaching a daily high near $0.345 a week later on February 19. However, the bull market has created a bearish reversal risk in the form of an overbought RSI.
An overbought RSI usually precedes a bearish reversal or consolidation phase in the underlying asset, causing traders to view it as a bearish signal and often a sell signal. C98’s RSI hit 82.88 on the daily chart, well above the overbought threshold of 70.
Therefore, if the supply wall near $0.367 rejects C98’s price increase, the Coin98 token price may fall to support near $0.32. Additionally, a violation of the immediate support level could lead to the C98 token price testing the 20-day EMA (red wave) support near $0.28 before recovering.
Conversely, a break through the supply barrier could see C98 price rebound to resistance near $0.408 before the correction narrows.