- Mina Protocol's MINA token rallied 60% in a week, and broke above a key resistance
- Several technicals back the bullish outlook
- Mina surge came after a $92 million token sale and was further fueled by the Coinbase listing
YEREVAN (CoinChapter.com) – “World’s lightest blockchain” Mina Protocol’s same-named token settled at $2.5 at the New York session opening bell on Mar. 24. The token briefly peaked at $2.8 the previous day, after a 60% rally in a week, following an all-time low of $1.5.
In short, the “succinct blockchain” token traded in a bullish formation dubbed the Falling Wedge since late November. The formation consisted of two converging trendlines that enclosed the price action and gradually lowered the value.
As a result, after bottoming out and exhausting the setup, the token typically breaks the resistance and takes off in a bullish rally. MINA complied with Falling Wedge’s prediction, broke the resistance, and retested the trendline as support several sessions later before initiating a new leg up.
Moreover, momentum indicators backed the bullish outlook. The relative strength index (RSI; the purple graph) charted at 68, reflecting the traders’ high return expectations. In addition, the trend-based momentum indicator Moving Average Convergence Divergence (MACD; green/red histogram at the bottom) duplicated the results.
In detail, the MACD bullish crossover occurs when the MACD line (blue wave; difference of 12-day and 26-day EMA) moves above the MACD signal line (orange wave; 9-day EMA of MACD). MINA chart registered the said crossover on Mar. 16, and the MACD line adopted a bullish trajectory, hinting at an upside continuation.
Additionally, the latest 60% surge came in the wake of a token sale aimed at accelerating the adoption of zero-knowledge proofs.
Mina’s Funding Round and Coinbase listing
In detail, Zero Knowledge Proof (ZKP) is a way of doing authentication without password exchange, which means they cannot be stolen. Here is how Mina Protocol described the feature:
The purpose of zero-knowledge proofs is to convince someone you know something without revealing what that thing is. For example, you might want to convince someone that you know the solution to a puzzle without giving them the solutionreads the website.
Moreover, Mina claims to be the first Layer-1 enabling the programmability of zero-knowledge smart contracts, zkApps. Thus, the organization behind the Protocol, Mina Foundation, announced a token sale on Mar. 16 to further develop the technology and brought home over $92 million.
FTX Ventures and Three arrows Capital led the funding round. The participants included Alan Howard, Amber Group, Blockchain.com, Brevan Howard, Circle Ventures, Finality Capital Partners, and Pantera.
Additionally, Coinbase announced its MINA token listing on Mar. 23. However, the platform faced technical issues with the trading launch and commented that the delay would be temporary.