It seems that the digital currency Movement [MOVE] has found its bottom after a year of decline. Movement has transitioned from being a second-layer (L2) blockchain on Ethereum to a fully independent first-layer (L1) chain.
In the last 24 hours, MOVE has risen by more than 12%, according to CoinMarketCap data, extending the rise for the second consecutive day. Daily trading volume has doubled, surpassing the $84 million mark.
### Why is MOVE rising today?
In addition to the technical breakout, fundamental factors and network activity contributed to driving the rise of MOVE.
On a fundamental level, Movement has partnered with over 10 decentralized finance (DeFi) applications, which are now directing funds into the ecosystem through fees. These revenues are used in the MOVE buyback program, which reduces the amount of circulating supply in the market.
To clarify, the main partnership in the ecosystem was the LayerBank partnership. The launch of the ULAB token on the MOVE network added approximately $2.30 million, enhancing the integration of more decentralized finance applications.
As for activity, the number of active addresses monthly increased by 17%, reaching 21.4 thousand at the time of this report. This reflects that the network has become busier since early December, despite prices remaining low.
The total number of created accounts neared 570 thousand, while the number of contracts published reached 28,837 from 4,710 creators, according to data from the Movement Explorer.
Additionally, the number of transactions rose from 50.9 thousand to 84.9 thousand in two days. This brought the monthly total to 2.8 million transactions, confirming a shift in activity.
All these on-chain metrics supported price growth over the past two days.
### Will the formation maintain momentum?
On the hourly charts, MOVE broke through the descending resistance line that had constrained the price for over two months since the collapse on October 10.
However, the formation has been in a downward trend since the peak ended after the launch, which concluded on December 25, 2024, when the price of MOVE slightly exceeded the $1.50 mark.
After this breakout, the price of MOVE rose by more than 51% but was immediately rejected. The price fell and began to stabilize around $0.0418. Holding above this level and breaking through $0.0600 to achieve a new higher peak means the bullish trend continues. Otherwise, sellers remain in control.
However, in this timeframe, sellers showed momentum, as evidenced by the MACD bars. The cumulative volume delta (CVD) was also negative at $8.35 million, indicating that selling was the dominant activity after the brief rise.
While the formation was bullish on the day, sellers were not ready to relinquish control. MOVE was trading in a bearish market, but the bulls gave the first hints of a potential reversal after a year of decline.
The reversal remains alive, despite the need for a market shift in larger timeframes for confirmation.
### Final Summary
- MOVE is rising by 12%, outperforming the entire market amidst an increase in partnerships, buyback programs, and network activity.
- The price of the Movement digital currency stabilizes above the breakout area, although sellers do not seem ready to relinquish control.
@Binance Square Official $MOVE
