Is 1INCH about to witness a bullish pivot? This integration could be why
- 1Inch’s integration with Base shows promise and the Ethereum layer 2 enjoys a strong start.
- 1INCH’s price action may soon shift to a bullish outcome as whales ramp up accumulation.
1inch announced its integration with the latest promising layer 2 network called Base. The integration highlights the DEX aggregator’s plan to stay ahead of the game and its commitment to availing the most efficient and cost-effective solutions.
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1inch’s latest announcement revealed that its aggregation protocol and limit order protocol have been integrated into Base. The number of Ethereum layer 2 scaling solutions has been growing ever since the 2021 bull run. Bases which was launched earlier this month is the latest addition to the layer 2 cohort.
1/ A new adventure begins ?
Join us as #1inch embarks on the next chapter of its thrilling journey, reshaping the industry’s future!
— 1inch Network (@1inch) August 24, 2023
One of the main reasons why Ethereum layer 2s exist is to decongest the network and enable lower fees. Base reportedly offers lower transaction costs and faster speeds than the competition. Hence, its appeal as a candidate for the DEX aggregator but the benefits do not end there.
1inch’s base integration already offers easy access to a variety of DeFi protocols. This means the integration may boost access to liquidity on 1inch. Furthermore, the DEX aggregator will also benefit in terms of volumes.
1inch’s performance recap
1inch’s data on Dune analytics revealed how it faired in terms of volumes in the last nine months. It achieved its highest monthly volume in March while its lowest volume occurred in August.
However, this was with a few days to spare but it is unclear whether the Base integration could boot this month’s volume enough to surpass its July volume.
Base has reportedly surpassed more than 100,000 daily active users less than a month after its launch. This confirmed that it is already on a robust growth trajectory. Furthermore, 1inch could potentially benefit from the integration in terms of activity.
How many are 1,10,100 1INCHs worth today
1inch’s network activity and transaction count metrics, at press time, hovered near their lowest levels in the last three months. The Base integration has the potential to boost 1inch in the transaction count and network activity department.
Could the Base-1inch integration support a favorable price shift?
The 1INCH token dropped to its lowest price level a week ago but has since bounced back slightly. More utility could change its fate by triggering a wave of demand but that remains to be seen. It exchanged hands at $0.247 at press time. But there is some good news for 1INCH holders because whales have been accumulating at lower price levels.
1INCH’s supply held by top addresses just reached a new three-month high. However, this accumulation has yet to reach the critical mass necessary to yield a robust bullish pivot.