Is ALPHA buy opportunity after the current dip?

ALPHA/USD has collapsed from $0.69 to $0.14 since April 02, 2022, and the current price stands at $0.15.

The cryptocurrency market continues to be under pressure, Bitcoin is trading below $29000, and if you decide to trade this cryptocurrency in the upcoming days, you should consider that ALPHA could weaken even more.

There’s still a lot of uncertainty

Alpha Finance is a decentralized protocol that has a mission to become an innovation lab that pushes ground-breaking products that maximize returns for cryptocurrency holders.

Alpha Finance is focused on building in the Decentralized Finance (DeFi) space; it supports various products and has its native coin under the symbol ALPHA.

ALPHA token can be used for liquidity mining, governance voting, as well as staking, and you can buy it from many exchanges.

The popularity of this project is rising across the globe, and its innovations have extended into an expansive ecosystem of products, including the world’s first leveraged yield farming platform, Homora.

Alpha Homora enables its users to participate as yield farmers, ETH lenders, or liquidators. ETH lenders can earn high interest on ETH, yield farmers can get even higher farming APY, while liquidity providers can get even higher trading fees APY from taking on leveraged liquidity providing positions. The team of Alpha Finance added:

Alpha Homora is able to generate the highest lending interest rate on ETH by innovating on the borrow side – enabling yield farmers and liquidity providers to take leverage position (by borrowing ETH) on yield farming and liquidity providing. Thus, yield farmers and liquidity providers pay borrow interest rate on ETH, but can leverage their position and increase their yield farming APY and trading fees APY.

Alpha Finance is constantly working on expanding the boundary of Web3 use cases, but this project also faces several challenges, and one of them includes the limited availability of products outside the Ethereum blockchain.

Alpha Finance could also face a lack of liquidity, and there’s still a lot of uncertainty around this project. On the other side, the cryptocurrency market remains under pressure, and probably it is not the best moment to buy this cryptocurrency.

Technical analysis

Data source: tradingview.com

ALPHA currently trades around the $0.15 level, but it would be a strong sell signal if the price falls below $0.10 support. The next price target could be around $0.080 or even $0.050; still, if the price jumps above $0.30, we have the open way to $0.40.

Summary

The cryptocurrency market remains under pressure, the price of ALPHA can weaken even more in the upcoming days, and probably it is not the best moment to buy this cryptocurrency. The uncertainty because of the Russian-Ukrainian war, high inflation, and the rising risks of the recession continue to keep investors in a negative mood.

The post Is ALPHA buy opportunity after the current dip? appeared first on Invezz.