EIGEN rises 17% as EigenLayer unveils governance framework

EigenLayer (EIGEN) climbed as Bitcoin’s rebound toward the $95K mark triggered bullish actions in the altcoin market.

Meanwhile, news of the recently launched governance system added to EIGEN’s momentum.

The alt climbed from the daily low of $3.1562 to $3.70 – a 17.23% jump. Further, EIGEN eyes continued gains as bullish sentiments magnify.

The project unveiled a new governance scheme to strengthen collaborations among participating ecosystems. The announcement read:

The role of EigenGov is to maintain a coordination layer for the EigenLayer ecosystem of EIGEN holders, AVS developers, operators, and stakers who are key participants in the prosperity, security, and reliability of the EigenLayer protocol.

The EigenGov V1 promises decentralized decision-making and enhanced partnership within the EigenLayer blockchain.

EIGEN price performance

The native coin trades at $3.70 after a decline from the daily high. Its current price places the coin 14.73% higher than today’s opening price.

Source – Coinmarketcap

The 21% increase in 24-hour trading volume to $371 million signals surged investor interest, supporting extended gains for the alt.

Whale activity supports bullish moves. IntoTheBlock data reveals a significant correlation between EIGEN’s price action and whale activity.

Large transfers skyrocketed past 1,500 in late September, propelling prices to $4. The surged activity came amid increased interest from dip-pocketed investors.

However, October saw reversals as prices consolidated between $2.50 and $3.00, while transaction count plunged below 500.

Early November witnessed flat activity, with prices hovering inside a contracted band as daily transactions fluctuated within the 50 and 200 range.

Meanwhile, activity increased slightly over the last seven days.

Large-scale transfers soared from 28 on November 17 to 186 on November 18, suggesting whale resurgence.

Moreover, transactions worth over $100K maintained steady uptrends over the past week.

Source – IntoTheBlock

The derivatives markets showcase notable optimism behind EIGEN’s prevailing performance.

Coinglass data shows the token’s volume increased by 33% to $551.44 million.

Further, the 22% surge in open interest highlights significant investor enthusiasm as the token eyes more gains.

The positive Long/Short ratio shows traders anticipate extended gains from EigenLayer.

Persistent bullishness in the coming sessions could propel the alt past the resistance at $3.967.

That would see bulls pushing towards $4.405 – a 24% surge from current prices.

EIGEN’s impressive performance aligns with the broad market outlook.

Crypto landscape

Digital tokens traded in the green today, with Bitcoin recovering towards the vital $95K mark.

Meanwhile, altcoins signal an upcoming alt season as they outperformed BTC.

Source – Coinmarketcap

For instance, Ethereum, Solana, and XRP gained over 6%, 3.84%, and 5.8%, while Bitcoin jumped 2.04% on its daily chart.

Also, the declining Bitcoin dominance, currently at 57.17%, supports that narrative.

Moreover, analysts trust the market is on the verge of an altcoin season, with Crypto Tamil expecting it within a week.

BTC has bounced sharply off the Fibonacci 618 level, which coincides with the 20-day EMA—a strong technical support zone. What’s even more significant is how BTC dominance hasn’t surged alongside this move. Just 5 more days, folks! Get ready for a full-blown altcoin season—it’s…

5:52 PM · Nov 27, 2024

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