The VGX value surged to the highest level since July 18 as the bidding conflict for Voyager Digital continued. The token rose to a excessive of $0.6872, which was virtually 400% above the lowest degree this yr. As a outcome, its complete market cap surged to over $182 million.
Why is Voyager Digital token rising?
Voyager Digital was a number one Canadian cryptocurrency alternate that dealt with billions of {dollars} each week. The state of affairs modified a couple of months in the past following the crash of Terra’s ecosystem, Celsius, and Three Arrow Capital.
Voyager Digital, going through a significant money squeeze, determined to file for voluntary chapter in a bid to arrange its assets. It additionally determined to cease deposits, withdrawals, and the creation of recent accounts. The VGX token continued buying and selling.
Behind the scenes, a bidding conflict by a few of the largest corporations in the crypto trade like Coinbase, FTX, and Binance. In complete, there have been about 22 suitors for the firm.
Now, the VGX token value rose after it emerged that FTX and Binance had been the predominant contenders. According to Coindesk, Binance has moved aggressively to accumulate these property. FTX, which made a proposal to purchase the firm final month, remains to be pursuing the firm’s property.
Coinbase had partnered with Callaway Capital Management to launch a bid however then walked away. Besides, the firm’s inventory value has crashed laborious this yr.
Therefore, the VGX value is rising as buyers give attention to the way forward for Voyager now that it looks like it is going to be saved by a much bigger firm. The rise can also be a part of a brief squeeze that has been occurring in the previous few months.
VGX value prediction
The four-hour chart exhibits that the Voyager Digital value has been in a bearish pattern in the previous few weeks. In this era, the coin shaped a falling wedge sample, which is often a bullish signal. This sample additionally explains why the coin has gone parabolic in the previous few days.
Voyager moved above the 25-day and 50-day shifting averages whereas the Relative Strength Index (RSI) moved above the overbought degree. Therefore, I think that the coin will now retreat as the enthusiasm about the firm’s acquisition fades. If this occurs, the subsequent key help at $0.3800.
