High transaction costs have been a problem for investors and developers for over a decade, and the problem was exacerbated in 2021 with the advent of Decentralized Finance (DeFi) and Non-Fungible Tokens (NFT), resulting in high levels of activity. through the cryptocurrency ecosystem.
Following the completion of the Ethereum London fork, cross-bridging and Tier 2 solutions were considered as options to reduce the high fees on the Ethereum network. Over the past two weeks, Celer, an end-to-end scaling solution that uses off-chain transaction management, has helped increase network bandwidth, resulting in increased user activity.
Data from Cointelegraph Markets Pro and TradingView show that since hitting a low of $ 0.0398 on September 8, CELR is up 400%, hitting a new all-time high of $ 0.199 on September 26, when 24-hour trading volume surged to $ 1.27 billion. …
4-hour chart CELR / USDT. Source: TradingView
Three reasons for the rise in prices for CELR are the release of protocols in the cBridge software chain, new integrations that have expanded the ecosystem and increased the overall strength and demand for customized solutions.
Chain links via cBridge
Celer’s biggest achievement in 2021 was undoubtedly the launch of its cross-chain cBridge solution, which was posted on the mainnet on July 22nd.
At the time of writing, cBridge supports asset transfers between 10 different protocols, including Ethereum, Binance Smart Chain (BSC), Polygon, Phantom, and Avalanche.
CBridge Supported Networks. Source: Celer Network
Data provided by Celer shows that in the last two months since cBridge’s launch, the protocol has facilitated the transfer of more than $ 242 million between networks as its popularity continues to grow in the crypto community.
Daily volume of transactions on cBridge. Source: Celer Network
The Celer Ecosystem Expands
Another reason for the growth of CELR over the past month is the expansion of the project ecosystem.
The launch of Optimism, Arbitrum, and the integration of Celer across bridges into Team 2 solutions are arguably the most important factors driving the price increase for CELR.
When cBridge was first released, it supported Polygon, Ethereum, BSC, Arbitrum, and Optimism. Within two months of the initial launch, it added support for Fantom, xDAI, Avalanche, OKExChain and Heco, effectively doubling the reach and number of users interacting with the token.
The functionality of the protocol has also led to several integrations, such as the addition of TokenPocket and ONTO to crypto wallets. The CELR token was also recently listed on the WOO Network and BarterTrade exchanges.
On the subject: Ethereum Alternatives and First Team Solutions Show Solid Growth in September
Growing demand for a second tier solution
The third reason for the overall strength of CELR is the rise in demand and activity on Layer 2 protocols, as well as Etherscan data showing that gas prices continue to rise as activity on the Ethereum network rises.
Average Ethereum Gas Price. Source: Etherscan
Arbitrum and Optimism have been fully launched in recent months after years of development, and users are now starting the process of migrating resources to these scaling solutions as DeFi protocols gradually integrate this new technology.
As a way of capturing some of the energy generated after the release of Arbitrum, the Celer Cross-Chain Bridge offers the ride of the seven-day withdrawal period required when users want to move assets from Arbitrum back to Ethereum.
According to Cointelegraph Markets Pro, market conditions have been favorable for CELR for some time.
The VORTECS ore Score, exclusive to Cointelegraph, is an algorithmic comparison of historical and current market conditions compiled from a number of data points including market sentiment, trading volume, recent price movements, and Twitter activity.