The 1inch network is a leading DeFi decentralized finance platform. It works as a liquidity aggregator of multiple decentralized exchanges. The USP of the 1inch network is helping users get the lowest rates for swapping tokens.
1inch collects and compares prices from decentralized exchanges based on all the major blockchain networks. It has more than 400 liquidity sources across top blockchain networks, such as Ethereum, BNBChain, Polygon, Avalanche, Optimism, Arbitrum, Phantom, GNO, SISChain, Klaytn, Aurora, ZKSync, and BASE.
As the DeFi network booms with the new crypto bull run, the need for rate aggregators like the 1inch network is growing to ensure the trades are carried out cost-effectively. Hence, cross-chain solutions like the 1inch network are growing with the new bull run.
As a leading player in the DeFi system, 1inch shows massive potential for growth. So, let’s explore the features, the broader market intentions, and the future potential of 1inch.
Overview of the 1inch Ecosystem
As an umbrella of multiple DeFi products, the 1inch network offers multiple tools for crypto traders to carry out crypto trading more easily and cost-efficiently. The main features offered by the 1inch network are as follows.
- 1inch Swap helps crypto traders find the best deals for swapping tokens at the best swap rates. The 1inch swap aggregates liquidity from more than 400 liquidity sources based on the 12 supported blockchain networks.
- 1inch wallet is a crypto wallet with interoperability services across different blockchains, which helps enable smooth transactions and manage tokens over different networks.
- The portfolio tool helps the crypto trader manage all the crypto holdings on a single platform despite being spread across multiple networks.
- Rabbit Hole helps crypto traders avoid front-running attacks when someone jumps ahead of their trade to profit. Hence, Rabbit Hole helps users reduce their transaction costs.
- Fusion+, the latest innovation from the 1inch network, enables cross-chain swaps at a faster rate with minimal fees.
In the growing ecosystem of 1inch networks, the 1inch token serves as drying fuel. As the native token, it plays a crucial role in governance, staking, and utility.
Governance: 1inch token holders have the privilege of participating in the decision-making process, which includes critical network updates such as changes in transaction fees, network operations, and the future roadmap.
Staking rewards: Token holders can lock their 1inch tokens to participate in liquidity pools or help with network security. In return for locking up their 1inch tokens, holders are rewarded with an incentive transaction fee discount. The token holders can transact over the network at lower fees.
Crypto Market Sentiment Surrounding 1inch’s Future
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With a quick reversal from the $0.22 support level, the 1inch token has increased by 33.24% in the last week. Currently, it is trading at $0.30 with an intraday gain of 3.34%.
The bullish turnaround uses a double-bottom reversing with the baseline at $0.22 and the neckline near the 0-point. Furthermore, the recovery rally challenges a long-term resistance trendline in the daily chart.
The resistance trendline started with a bearish turnaround from its 52-week high near $0.70. The trendline has resulted in nearly five bearish turnarounds. However, the ongoing bullish engulfing candle forming near the trendline increases the possibility of a breakout rally.
Furthermore, the MACD indicator shows a positive crossover, increasing the upside chances. Based on the Fibonacci levels, the uptrend above the trendline record will find a minor resistance near the 23.60% level. This level is priced at $0.3313, marking a minimum upside potential of 17%.
Beyond this, the 1inch crypto price prediction reveals the 50% level as a potential price target near $0.45. Conversely, a bearish turnaround, a bullish failure to cross above the trendline, will lead to a breakdown rally at $0.24.
Amid the broader market conditions, sentiments related to the 1inch network over social media and discussion channels are gradually turning positive. As the DeFi network grows, the demand for liquidity aggregators is likely to increase, and the supporting features to help traders on the 1inch network are likely to make it a top player in the DeFi segment.
The Future of 1inch in the DeFi Market
With strong growth potential, the 1-inch network pulls liquidity from multiple DeFi protocols over different chains. The ecosystem’s interoperability features provide seamless operations and better transaction rates.
With features like Rabbit Hole and Fusion+, transactions over the 1-inch network are faster, cheaper, and have a friendly user interface. Hence, as the 1-inch network solves critical issues like high transaction fees and liquidity crunch, it is set to expand the DeFi network.
Fusion+ Launch: How 1inch Plans to Conquer the Cross-Chain Swap Market
While traditional cross-chain swaps have issues with high transaction fees, slower transaction times, and security risks, Fusion Plus provides a decentralized self-custody alternative in a web-free world.
- To reduce the cost, Fusion Plus uses advanced aggregation techniques to provide the best rates for its users.
- The transaction processing has been accelerated to enable fast transfers across different blockchains.
- The enhanced security measures provide a safe and reliable platform and protect users from cross-chain vulnerabilities.
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Hence, with an efficient, secure, and cost-effective cross-chain platform, the 1inch network has the potential to become the leader in this segment.
Conclusion
The 1inch ecosystem provides customer-centric features, low cost, and fast transaction times for over 12 blockchains with 400+ liquidity providers. Hence, with its innovative DeFi features, the cross-chain liquidity aggregator shows the potential to become a leading force in the DeFi and Cross-Chain swap segment.