Stargate Finance price has performed relatively well over the past few days as demand for the coin has increased. STG rose to a high of $1.15 last week, its highest level in months. It has now retreated slightly and is trading at $0.773, taking its market cap to over $102 million.
What is Stargate Finance and STG?
Stargate Finance is a rapidly growing blockchain platform in the decentralized finance (DeFi) industry that solves a bridging problem. According to its white paper, Stargate addresses three major problems that exist in the field.
First, existing developers rely on wrapped assets to move the original assets between chains. Second, they can only support a small limited network of chains. And lastly, they cannot be created with smart contracts on the destination chain.
Stargate Finance solves this challenge by making it easy for people to transfer assets across multiple chains. While solutions such as Avalanche Bridge and AnySwap enable this transfer, they have the challenge of instant guaranteed finality and integrated liquidity.
Therefore, the user can transfer assets in series in the ratio of 1:1. For example, an Ethereum-based Dai can be swapped for a Dai on the Avalanche blockchain.
Stargate Finance is available in multiple ranges like Ethereum, Avalanche, Arbitrum, BNB, Polygon, Optimism and Phantom. According to DeFi Lama, the net worth of Stargate Finance is over $679 million.
STG is the native token for the Stargate ecosystem and users can easily stake it to earn returns. Also, they can participate in its governance.
Stargate Finance Price Forecast
The four-hour chart shows that STG price has been in a strong bullish trend over the past few weeks. It jumped from the $0.3295 high to $1.1465 high. Recently, however, Stargate Finance price has lost the bullish momentum and formed a head and shoulders pattern.
It has also declined below the 25-day and 50-day moving averages. Its quantity has also declined. So. There is a possibility that the coin will have a bearish breakout which will drop it to the support level at $0.5452, which is around 30% lower from the current levels.