Here’s why Berachain’s BERA price is surging
Berachain’s token continued its strong rally on Monday, reaching its highest level since March 3 as its decentralized finance assets gained momentum.
Berachain (BERA) price jumped to a high of $7.45, up by 42% from its lowest level this year. This surge has brought its market cap to over $795 million.
Berachain’s surge happened as its decentralized finance ecosystem gained momentum. According to DeFi LLama, the network’s total value locked jumped to a record high of $3.2 billion, a big increase from the year-to-date low of $770 million.
Most decentralized applications on the Berachain network have added funds in the past few months. Infrared Finance, a liquid staking network, has over $2.13 billion in assets, a 38% increase from the previous month.
Other large players in the ecosystem, including BEX, Beefy, Beradrome, Stride, and BurrBear, have also added substantial assets.
BERA price also jumped as the total stablecoin market cap in the ecosystem jumped to over $1 billion.
Further, the BERA token price rose after the developers launched the Proof of Liquidity feature, which allows users to earn rewards. They introduced 37 new reward vaults, which will distribute BGT emissions across the ecosystem. A look at the vaults website shows that active incentives rose to $355,000 a few hours after launch, with the largest one offering an annual percentage rate of about 215%.
Berachain price analysis
The three-hour chart shows that the BERA price has bounced back from this month’s low of $5.25 to a high of $7.8. It has soared above the crucial resistance point at $7.08, the upper side of the ascending triangle pattern. Such a triangle is one of the most bullish continuation signs in the market.
Berachain price has moved to the ultimate resistance of the Murrey Math Lines at $7.8125. The Relative Strength Index and the Moving Average Convergence Divergence indicators have continued rising. The bullish trend will likely continue as bulls target the extreme overshoot at $8.60. This is a notable level since it was the highest swing on March 3. A drop below the support at $7 will invalidate the bullish outlook.
