Digix DAO Price Anomaly Once Again Goes Against Market Tide
The asset has lost some positions, but still remains something of a safe haven in Bitcoin trading.
The trading of Digix DAO (DGD) on Binance once again revealed an anomaly, as the asset grew while other market prices were sinking. DGD is traded against Bitcoin, and inched up as the 8th most traded asset on Binance. The price has been down from the peaks above $500, but still moved against the markets in the recent sharp slump.
The chief reason for the appeal of DGD is the promise for a launch of a gold-backed token. Unfortunately, the token is yet only a future intention, and owning DGD will not give a right to the new asset.
But the other reason for the price rise may be the expected launch of a main net in the next two weeks. DGD has been one of the earliest Ethereum ICOs, and has been in development for about two years. Some believe the current prices may see a further breakout. Still, DGD remains relatively thinly traded, relying on Binance. The price usually drops as markets recover, again in reverse to the general trend.
Yet this time, the effect is a bit smaller, as well as the trading volumes and the price spike. In the case of DGD, the next two weeks would show if the project manages to perform as expected. Yet the prices at this point may be overheated and continue sliding to lower levels.
Digix 2.0 Coming
The Digix project is launching a new set of smart contracts by the end of the week, and preparing for the Digix 2.0 platform soon. The project is starting to build its votes and participation system, and will add users in batches. Owning DGD will give voting rights, not direct access to a new type of gold-backed token.
At the moment, there are no additional mentions of the Digix Gold (DGX) stablecoin linked to one gram of gold.
The next two weeks may see another bout of hype around DGD. While the project has been around for a while, standing out in a falling market may attract buyers. DGD has shown a capability to appreciate quickly, but the price drops are just as sudden when selling starts.
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