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Bitcoin’s DeFi Protocol, STACKS (STX) Could Rally to $112: Analyst

Published 08/03/2024, 09:40
Updated 08/03/2024, 09:45
© Reuters.  Bitcoin’s DeFi Protocol, STACKS (STX) Could Rally to $112: Analyst

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  • Ben Armstrong has predicted the potential targets for STACKS (STX), Bitcoin’s DeFi network.
  • According to Armstrong, STX could rally to $18, $50, or $112, depending on various factors.
  • Armstrong thinks STACKS would claim a significant portion of Bitcoin’s Layer-2 market but not dominate it.

Ben Armstrong, a renowned cryptocurrency analyst, has predicted the potential targets for STACKS (STX), the Bitcoin decentralized finance (DeFi) network. Armstrong provided three potential price targets, depending on how the crypto market develops and how STX copes with imminent challenges.

In a recently uploaded video, Armstrong predicted STX will rally to at least $18 in the most bearish case, with a market cap of $26 billion. He believes a bearish STX outlook will depend on Bitcoin maxis starting another “war” by attacking the project. Otherwise, Armstrong thinks STX has a good chance of rallying to $112, with a market cap of around $169 billion. According to him, that is possible if STACKS becomes the undisputed Layer-2 network for Bitcoin.

Besides the two extreme situations highlighted by Armstrong, he thinks there is a higher possibility of STX settling somewhere in between. He foresees the competition against STACKS to increase, making it difficult for the project to dominate the Bitcoin DeFi space. As a result, the renowned analyst thinks an escalation in DeFi NFTs on Bitcoin would introduce several Layer-2 networks in the Bitcoin ecosystem.

Armstrong thinks STACKS would claim a significant portion of Bitcoin’s Layer-2 market but not dominate it. That is because of the potential introduction of different Layer-2 scaling solutions tackling specific use cases. As a result, he foresees STX rising to $50, with a market cap of around $88 billion.

The crypto analyst considered several fundamental elements that have supported STACKS’ growth and development. They include the team behind the project, its tokenomics, historical price action, and marketing, among other factors.

STX traded for $2.89 at the time of writing, having bounced off a $1.24 swing low at the end of January, according to data from TradingView. The Layer-2 crypto has gained over 170% in the recent rally, with Armstrong predicting higher price targets for the future.

The post Bitcoin’s DeFi Protocol, STACKS (STX) Could Rally to $112: Analyst appeared first on Coin Edition.

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