- The UMA price has soared by more than 112% in the past 24 hours.
- It has rallied as investors cheer its ecosystem growth.
The UMA price is soaring on Tuesday as demand for its platform flourishes. The token has jumped by over 112% in the past 24 hours and is currently trading at the highest point since January 7th. It has rallied by more than 142% from its lowest level in February, bringing its total market capitalization to over $665 million.
What is UMA and why is soaring?
UMA stands for Universal Market Access. It is a blockchain project that was started in 2018 with the goal of making it easier for people to build decentralized financial products. The platform currency offers a number of key products like optimistic oracle, long short pair, call/put options, range tokens, KPI options, and success options.
UMAs optimistic oracle allows contracts to request and receive any kind of data. It acts as a generalized escalation game between contracts that initiate a request and the data verification mechanism. In short, apps built using other blockchain can integrate with UMA to boost speed and reduce their costs.
Today, a number of developers have embraced UMA’s technology to build smart contracts. Indeed, the network has a total value locked (TVL) of more than $133 million. This figure has grown by more than 18% in the past 24 hours. The growth makes it the 9th biggest smart oracle network after Chainlink, Maker, Internal, TWAP, WINKLink, Band, Pyth, and DIA.
Some of the biggest apps built or integrated using UMA are Across, Sherlock, Boba Network, Polymarket, and PieDAO among others.
It is unclear why the UMA price has jumped sharply in the past few days. Perhaps, investors are cheering the spectacular growth of its ecosystem. Also, there is a likelihood that investors are identifying coins that have a potential to explode in the coming days.
UMA price prediction
The four-hour chart shows that the UMA price has been in a spectacular rally in the past few days, It has climbed to the highest point in almost two months. As a result, it has climbed above the 25-day and 50-day moving averages while oscillators like the Relative Strength Index (RSI) and MACD have rallied.
Therefore, while the UMA price will likely keep rising, there is a possibility that the token will have a sharp reversal as buyers take profit. If this happens, the next key level to watch will be at $8.76.
