Decentralized finance (DeFi) was the driving force behind the growth in the cryptocurrency market in early 2021, but the sector has recently given way to promiscuous tokens, as well-known artists and old auction houses joined the NFT chain.
Taking a break from the limelight allowed some of the most popular DeFi projects like Balancer to put together and plan the next steps for their protocols while working to build a user-friendly and manageable DeFi ecosystem.
Data from Cointelegraph Markets and TradingView shows that the Balance Protocol (BAL) control symbol reached a low level of $ 28.95 on February 23 after a correction that followed the entire company that came after Bitcoin (BTC) was first rejected from $ 58,000. Since then, BAL has climbed 122% and reached a new full-time high of $ 64.99 on March 18th.
Balances have been able to break away from the ongoing decline in the DeFi token through a series of partnerships and protocol updates aimed at tackling some of the biggest challenges facing decentralized financing, including the rising transaction costs of the Ethereum network.
Balancer 2.0 takes over the DeFi community
Balancer’s great momentum began to gain momentum at the end of January, when the protocol implemented a gas compensation charge on an equalizer exchange as a way to lower high transaction costs.
On February 2, the project began tweeting about Balancer 2.0 and the various features to be included, such as protocol storage, gas efficiency and failover oracle.
Balancer also announced a partnership with Aave to create Balancer V2 Asset Manager, a hybrid automated liquidity pool and lending product.
VORTECS ™ data from Cointelegraph Markets Pro showed optimistic prospects for BAL on March 12 before the last rally.
Exclusive to Cointelegraph, VORTECS ™ is a mathematical comparison of historical and current market conditions derived from a number of data points, including market sentiment, trading volume, recent price movements and Twitter activity.
As shown in the chart above, the VORTECS steg result rose to a high of 69 on March 11, when the BAL price fell, and another high of 73 on March 13 caused the price to break through a new all-time high.
Following the launch of Aave AMM on March 16, the BAL VORTECS steg ranking rose to a high of 66 on March 17, two hours before prices began to rise by 63%.
Balancers’ increase to a full-time high is clearly supported by a strong use case for its new offerings, and the project appears to be well positioned to handle the next wave of DeFi shots as institutional and individual investors increase their presence in the cryptocurrency market.