The price of Celestia (TIA) has rebounded in the past few days as investors appear to have been accumulating the token’s dip. After hitting a low of $4.15 last Friday, it has surged by nearly 50% to reach $6.15 on Tuesday morning, resulting in a market cap of over $1.2 billion at press time.
Celestia rallies as light nodes jump
Celestia is the first “modular blockchain” network project that launched its airdrop in October 2023. Shortly after that, its TIA token soared by over 874%, reaching a record high of $21.13, giving it a peak market cap of over $3.35 billion.
However, like other cryptocurrencies, Celestia has experienced a sharp drop since March this year, erasing most of its initial gains. This drop happened as Bitcoin and other tokens also retreated in March, continuing the sell-off by investors.
The hype surrounding Celestia faded after the airdrop, resulting in a drop in its value.
Despite this, the network has continued to grow in the past few months. Recent data shows that the number of light nodes in the ecosystem has increased significantly. In March, Celestia had 241 light nodes, which has now jumped to 551. The majority of these nodes are in Europe, America, and Asia, and the number is still growing.
The number of developers adopting its modular data platform is also increasing. Some of the notable companies using this platform include Axelar, Alpha Dune, Catalyst, and Caldera.
According to data from Celenium, Celestia has processed over 19.1 million transactions and is expected to reach 20 million soon. The total blob size has now exceeded 31.40 GB. Additionally, most TIA holders have staked the token to secure the network and earn more rewards. Out of the 1.068 billion supply, 725.3 million tokens have been staked.
Celestia price analysis
The daily chart indicates that the price of TIA reached a peak of $21.13 in February during a surge in cryptocurrency prices. Subsequently, it experienced a significant decline, dropping to a low of $4.15 last Friday. At this point, a small morning star pattern emerged, signaling a bullish trend. This recovery occurred amid high trading volume, with total volume exceeding $120 million on Tuesday.
However, despite the recovery, Celestia’s price has remained below the 25-day and 50-day Exponential Moving Averages (EMA). The Relative Strength Index (RSI) has moved from the oversold level of 30 to almost 50.
Consequently, the price of Celestia is expected to continue rising as buyers aim for the key resistance level at $7.60, which marks its lowest swing on April 13th. If this level is breached, it may open up the possibility of a further rise to $11.8, where a double-top pattern was previously observed.
