The cryptocurrency market has been quite volatile, and the latest data shows that Stacks (STX), which is one of those involved in bringing smart contracts and decentralized applications to Bitcoin, has not been an exception. The latest market figures indicate that the stack price has dropped by 11.97 percent to $1.99 in the past 24 hours.
As such, the market capitalization of LRC sits at about $2.9 billion, making it the 33rd largest cryptocurrency in the market. The decrease is part of a larger market trend that has rocked various digital currencies over the last few days.
Dr. Henry Clark who is a lecturer in the field of blockchain technology at the University of Technology weighs in on what is causing the decline. ‘The bearish sentiment of the entire crypto market has highly affected Stacks, though specific issues related to the speed of development and adoption of its network has also contributed to its recent price performance,’ clarified Dr. Clark.
One of the avid users of Stacks, Lisa Gomez, who is a web developer and has recently been trying to create apps on Stacks, tells her opinion about the situation. I hate seeing the price go like this, but I believe in the technology. But, these fluctuations are the nature of the crypto world. The long-term potential of Stacks, particularly, its unique approach to smart contracts via Bitcoin is the object of my attention.
The trader volume for Stacks has spiked by 91.75% in the last 24 hours to almost hit $294.5 million. This is a sign of high trading activity that may be due to traders trying to take advantage of the drop in price, or others finally choosing to get out.
Having a circulating supply of approximately 1.45 billion STX, which is about 80.03% of its total supply limit at 1.818 billion STX, the coin’s liquidity and availability are quite high which is one of the factors that can affect its price volatility. Assuming, all coins would be released, the fully diluted market cap would amount to about $3.62 billion.
“Stacks remains of interest to those who were perhaps a little disillusioned by today’s downturn,” Dr. Clark said. Nevertheless, it should urgently resolve the issues concerning its technology and position in the market to rebuild negative dynamics.
In a continued uncertain market, cryptocurrencies as Stacks will be the main focus for bullish and bearish investors. The prospects of Stacks, dependent on wider market trends and its own technological development, are a sector to monitor closely.
