A recent mainnet event for Celestia increased the price of its native token TIA by over 20%. This growth comes after the Lemongrass update, which includes features such as one-click interaction through IBC and cross-chain accounts.
These improvements led to a recovery in the altcoin market and increased investor confidence in the Celestia network. The Lemongrass update introduces new network improvements, including minimum gas prices to reduce spam and improve inter-network transfers.
The Celestia update also improves the protocol’s compatibility with the Cosmos ecosystem and makes it more relevant in the blockchain industry. Consequently, the price trend of the TIA token is positive and it is trading above critical support levels.
TIA token price analysis and on-chain data
Earlier today, September 18, Celestia introduced its first major update called Lemongrass. New features in this update include support for cross-chain accounts, while older features such as Blobstream have been removed.
These changes are designed to improve network performance and reduce the time required to update the network.
TIA 1-day trading chart: source Coinmarketcap
The latest trading activity of the TIA token on the market indicates strong interest in the asset. Over the last day, TIA shares traded between $5.01 and $6.48, up 21.55%.
The market increased its market capitalization by 21.2%, which shows the surge in demand for the token in the market. The token price peaked at $6.48 and then fell slightly to settle at $6.32.
Market activity increased by 79.95% in 24-hour trading volume, reaching $312.67 million. This increase in trading volume and prices is in line with growing investor interest following the mainnet upgrade.
The volume to market capitalization ratio is 23.46%, which is quite high for the market, indicating active trading. In addition, the total number of Celestial coins in circulation is 211.83 million, and the total number of coins is 1.07 billion.
All these statistics give good market performance for the token. The TIA token bounced off a critical support zone, signaling a potential breakout.
Past Performance and Market Outlook of TIA
Celestia (TIA) recently bounced back and has traded above 20% over the past week, approaching breakout levels. Buyers began to push away from the key resistance level at $5, which served as a barrier preventing the price from rising.
The TIA is also showing some signs of reversing the volatility it has seen in the past. Now the token is stabilizing.
Analysts weigh in on Celestia’s future
Altcoin cryptocurrency analyst Sherpan expressed concern about TIA’s long-term price outlook. He predicts that the token could fall below $1, but assumes short-term gains due to potential market volatility. Sherpa advises investors to consider short-term positions with entry points between $4.60 and $4.40.
Looking ahead, Celestia plans to unlock 175.74 million TIA coins on October 31st. This increase in float could put downward pressure on the TIA price. Early investors may sell their holdings, leading to a potential market correction.
With short squeeze dynamics and token unlocks on the horizon, TIA’s price remains uncertain. Investors should proceed with caution and closely monitor market trends and expert forecasts.
