By
Tolu Ajiboye
March 22nd, 2024
Over the last weekend, MOON price surged to its all-time high in anticipation of Celer’s upcoming bidirectional bridging feature.
With Reddit’s IPO approaching, there’s a surge in demand for its community tokens. According to Reuters, the Reddit IPO is experiencing overwhelming demand. Reports also suggest that Reddit may achieve a valuation of $6.5 billion, being four to five times oversubscribed.
The social media platform, renowned for its vibrant user base, has announced a robust performance for FY2023, surpassing $800 million in sales. Currently, Reddit boasts a total asset portfolio of $1.6 billion, including $1.3 billion in cash reserves and holdings in cryptocurrencies like Bitcoin, Ethereum, and MATIC.
The MOON Token Rally
Moons (MOON), the native cryptocurrency of Reddit’s r/CryptoCurrency community, is experiencing a surge in anticipation of Celer’s upcoming bidirectional bridging feature. This innovative facility will enable token holders to transfer coins seamlessly between Arbitrum One and Arbitrum Nova.
Over the weekend, MOON reached a new all-time high of 84 cents, surpassing its previous peak of 65 cents recorded in July 2023. These ERC-20 tokens are awarded to users as rewards for their contributions to the r/CryptoCurrency subreddit, including posts and comments, and can also be freely traded, tipped, or utilized within the community.
Recently, r/CryptoCurrency announced Celer’s support for MOON, a move set to enhance interoperability. Furthermore, with the bridge expected to be operational by March 20, users will gain the ability to swiftly transfer their MOON tokens to the Arbitrum One blockchain using Celer’s bridging solution. Thus, they will be able to bypass the one-week waiting period associated with Arbitrum’s official bridge.
Currently, MOON is exclusively listed on Arbitrum Nova. However, with the upcoming bridge, MOON holders will gain the flexibility to transfer their coins between Arbitrum Nova and Arbitrum One bidirectionally. Arbitrum One boasts significantly higher liquidity compared to Arbitrum Nova, with approximately $3.43 billion worth of cryptocurrencies locked in its decentralized finance ecosystem, as reported by DeFiLlama. In contrast, Arbitrum Nova holds a substantially lower liquidity of $2.09 million.
Furthermore, leveraging the bridge to transfer MOON tokens to Arbitrum One will provide users with access to a wider array of decentralized finance (DeFi) applications while reducing the risk of potential shutdowns. Despite bridging to Arbitrum One, users will retain their voting power. However, distribution and tipping of the token will continue to operate over Arbitrum Nova, which offers lower transaction costs.
DONUT Joins the Party
Another Reddit community token DONUT has also joined the party Experiencing a bullish trend in the daily chart, the DONUT price has swiftly rebounded from its low of $0.0050. Presently, the community token is trading at $0.02715 and anticipates a significant surge further.
Should the uptrend extend beyond the $0.037 threshold, the DONUT price might establish a fresh swing high. Based on trend-based Fibonacci levels, Reddit’s community token could potentially reach $0.05707.