DeXe (DEXE) crypto trading volume balloons over 150%; will it sustain gains?

Highlights

• DeXe is a decentralised social trading platform
• DeXe users can mimic the trading strategies of expert crypto traders
• Automatic token buybacks function of DeXe ensures constant circulation of DeXe tokens

The global crypto market showed some sign of pullback on Wednesday (8 June 2002), with a 1.97% increase in the crypto market cap to US$1.24 trillion. The bellwether crypto, Bitcoin (BTC) surged by 2.60% to cross the US$30k mark. Ethereum, the second most popular crypto also gained 2.23% to reach US$1,792.32. Many altcoins gained today following the bullish trend in the broader crypto market. One such digital token that gained today with higher trading volume is DeXe, which is ranked at 635^th place by CoinMarketCap based on its current market capitalisation of US$20.4 million.

In the last 24 hours, DEXE tokens surged by over 17% to trade at US$3.67 per token as per data available on CoinMarketCap. At the time of drafting this piece, the trading volume in DeXe crypto was US$19.6 million, up a whopping 165% in the last 24 hours. Despite today’s gains in DeXe crypto, it is still 89% away from its all-time high of US$33.54 touched on 8 March 2021. However, this crypto is 452% up from its all-time low of US$0.6535 clocked on 10 Nov 2020.

There is no obvious reason to explain the surge in DEXE tokens price today. But earlier this month DEXE crypto was added to Coinbase Custody. It may be noted that institutional investors prefer custodial accounts for additional insurance. Hence, this might have worked as a trigger for DEXE crypto's revival and volume spurt. However, it will be difficult at this stage to predict how far this revival will continue. As a potential investor if you are looking to invest in this crypto then you need to understand this blockchain and its pros and cons. Here is all you need to know about DeXe ecosystem.

Suggested reading: What’s weighing on THORChain’s RUNE crypto?

What is DeXe (DEXE) crypto?

Founded in 2019, DeXe is a decentralised social trading platform. The project was built to solve some of the issues faced in crypto trading, and to assist crypto enthusiasts in mastering the industry. The network claims to enable a permissionless and open system.

According to the whitepaper of DEXE, the users can imitate the moves of professional traders, even if they do not know the rationale behind the move or what will happen with that move. Newcomers who struggle to generate profit from crypto trading can generate some earnings simply by following the path of the large crypto traders, claims the whitepaper.

DeXe whitepaper mentions that users can have multiple tokens in play and use those tokens to mimic expert traders. A real asset backs each token, and the value of the token depends on the trader's skills.

On the DeXe network, a user can earn farm rewards. To earn farm rewards, the user must buy and hold DEXE tokens for a long duration. Also, the token holder can enjoy the benefit of participating in the DeXe DAO governance. The DAO participant receives voting rights and can also contribute to new proposals.

Do read: What is Elon Legacy NFT and is it safe?

What benefits does the DeXe network offer?

The vital function that the DeXe network offer is to maintain a constant circulation of its native token by engaging in automatic token buybacks. It ensures liquidity and, at the same time, ensures constant demand with price stability.

In addition to this, to maintain the value of its native token, DeXe has a burning mechanism, under which a percentage of players' rewards are burned. Despite the positives mentioned above potential investors should not neglect the fact that crypto investment is ultra-risky due to the inherent volatility of the market. So, one needs to tread cautiously while investing in this crypto.

Risk Disclosure: Trading in cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory, or political events. The laws that apply to crypto products (and how a particular crypto product is regulated) may change. Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading in the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed. Kalkine Media cannot and does not represent or guarantee that any of the information/data available here is accurate, reliable, current, complete or appropriate for your needs. Kalkine Media will not accept liability for any loss or damage as a result of your trading or your reliance on the information shared on this website.