Aniket Pujari
Berachain, the fast-growing layer-1 network, is performing well as its token rises and its decentralized finance ecosystem booms.
Berachain (BERA) price rose to $8.60 on Thursday, up 60% from its lowest point in March.
The ongoing surge has come as network growth gains momentum. A good example is the decentralized exchange industry, where protocols built on Berachain are gaining traction.
DeFi Llama data shows that the weekly volume handled by these protocols rose by 105% to $519 million. This increase has pushed the cumulative volume handled by the network to $2.17 billion, with most of the activity coming from BEX, which processed $364 million in the past seven days.
Volumes on other DEXs within the Berachain ecosystem, such as Kodiak, Bulla Exchange, and Amped Finance, also rose by over 100%.
Berachain’s total value locked in DeFi is also rising, making it the seventh-biggest chain in crypto. Its assets have jumped by 40% in the last 30 days to $2.94 billion, while its stablecoin market cap crossed the $2 billion milestone.
Berachain’s growth in the DeFi and DeX industry has grown at a time when other large chains like Solana (SOL), Ethereum (ETH), and Tron (TRX) are slowing. The TVL of these three chains has dropped by over 20% in the past 30 days.
BERA has also surged following the launch of proof of liquidity, a feature that helps decentralize the network.
BERA price analysis
The two-hour chart shows that Berachain price has been in a steady uptrend over the past few days. It rose from this month’s low of $5.2830 to a high of $9.50, and remains slightly above the 50-period moving average.
Most importantly, the token has formed a cup and handle pattern, with the upper side at $9.16. The recent pullback has formed the handle portion of this pattern.
This cup had a depth of 38%, and measuring this distance from the upper side implies a potential move to $12.60, which is about 50% above the current level.
