Key Highlights:
- Zora witnessed an approximate 50% rise in the last 24 hours, leading to a market capitalization of $450 million.
- This growth appears to stem from a substantial buy-in driven by expectations of future price volatility, with no specific news to spur the demand.
- Increased trading volume correlates with the initiation of perpetual contracts for ZORA by leading exchanges, which has improved market liquidity.
Zora (ZORA) shot up nearly 50% over the past day, crossing the 13-cent mark, following a week-long increase of over 118%, elevating its market cap to $450 million. While no direct cause or news seemed responsible for this demand spike, signification price fluctuations indicate that a prominent investor may have made an extraordinary purchase of tokens in anticipation of potential upward volatility.
Zora Price Surge
On Sunday, on-chain metrics reflected robust activity in coin issuance with approximately 47,000 new coins from 21,000 distinct creators, marking the highest levels of engagement since the end of July.
Zora - an OP Stack Layer 2 platform for creators and media minting - was recently added to the ‘Base App’ discovery features, enhancing access for retail users and stimulating activity on the creator’s side.
Trading volume surged to $284 million over the weekend from just under $160 million the day before, attributed to major derivatives platforms, including Binance, rolling out ZORA perpetual contracts offering leverage as high as 50x, attracting speculative investments.
These listings likely tightened bid-ask spreads and enhanced liquidity, facilitating both spot and leveraged trading surrounding the Base ecosystem’s token.
ZORA was launched back in April through a retroactive airdrop aimed at early users, resulting in a relatively constrained free float of the asset.
