Project Serum: Can This Solana DEX Make You a Millionaire in 2023?

Project Serum has led the crypto recovery in 2023, increasing by 170% in 14 days. Investors heavily sold SRM tokens following the collapse of Sam Bankman-Fried’s FTX exchange in November. this brought down the price by 84% in less than a week to $0.1336. 

However, the Serum price rebounded shortly after the crash and peaked at $0.41 before experiencing more downward movement in December. The price likely bottomed at $0.1140, contributing to its current upward trend to $0.50.

What is Project Serum?

Project Serum

The serum Project is a protocol on the Solana blockchain focused on Decentralized Finance – more specifically, crypto trading. It is an automated Market Maker (AMM) for the Solana Network, it is the largest n terms of TVL and market cap.

Serum DEX was built to advance the mass adoption of DeFi and developers have a vision of getting over 1 billion users. It was launched on August 31, 2020, and has managed to remain relevant in the Solana ecosystem. Serum is backed by large players in the industry including the now-infamous FTX and Alameda.

Serum is a great DEX because of its composability, the Serum core, high speeds and low costs.

The Serum Core is an Asset Agnostic (not limited to one type of asset) order book that can match any SPL token regardless of whether it is an option, futures, or a borrow-lending position. As long as it’s tradable on the Solana network, you can trade it on Serum.

Developments on Serum DEX

Developers have also been working on the SOL Wallet Adapter library, which would allow Solana dApps to use third-party wallets to sign transactions and DEX Integration to enable the trading of cryptocurrencies on the platform.

While the Serum project has been gaining traction, the future of the SRM token is still on the balance. Currently, there are proposals from the community on using the token for discounts and other benefits. But it remains to be seen if this will be the case. 

Ultimately, it is up to the DeFi community to decide the fate of the SRM token and the Solana DEX. Whether it can become the millionaire maker many have predicted.

Serum (SRM) Price History

Serum opened on the open market at $0.11 on August 11, 2020, and quickly rose to $1.69 the next day. The booming crypto market in early 2021 helped SRM reach a high of $12.89 on May 3, 2021. On September 2021, around 131,000 SRM had been burned, with the token reaching its all-time high of $13.72. However, it then experienced a descent and closed the year at $3.42.

SRM’s experience in 2022 has been harsh, similar to the overall crypto market trend. However, the de-pegging of the UST stablecoin and the collapse of the LUNA cryptocurrency, SRM plunged it deeper to $0.9794 on May 2022.

The situation worsened when the Celsius Network (CEL) crypto lending platform halted withdrawals. this made the price of SRM fall to $0.7517 on June 2022.

By September 29, 2022, SRM was trading at a daily low of $0.75 showing signs of improvement in early November after reaching a high of $0.869. Additionally, the collapse of FTX caused it to drop on November 2022, closing the year at $0.1428.

However, 2023 began with significant signs of recovery. Serum (SRM) has experienced a 4.4% price increase in the last 24 hours and a 4.94% price increase in the past seven days. The SRM price is $0.399542, with a 24-hour trading volume of $15,118,460. With a circulating supply of 370 Million SRM, the market cap for Serum is now at $148,787,994.

SRM Technical Analysis

Serum price reaches its bottom showing signs of a bullish 2023 market as it breaks out by 178% over the last seven days. Despite this gain, the token was still 96.6%, down from its all-time high of $13.78 in September 2021. 

Technical indicators such as the SuperTrend and Moving Average Convergence Divergence (MACD) signal a bullish outlook for the token. The SuperTrend is trailing the token on the daily chart, keeping the buy signal intact, while the MACD is crossing above the signal line, indicating that the token is poised for a rally. 

The main challenge for bulls is to break through resistance at $0.86. This will allow investors and traders to hold onto the token while anticipating a rally back to its all-time high. Furthermore, should the price break and retest above the 200EMA, the bullish rally will inevitably return to SRM’s all-time high.

SRM is a good investment in the long run, However, always do your due diligence before engaging in any investment projects.

Conclusion

SRM is a good investment in the long run, However, always do your due diligence before engaging in any investment projects. Traders can buy Serum and potentially profit from its rally to $13.78 in a few months. Despite the current low trading volume on the Serum DEX, the rise in Serum’s price could bring attention back to the platform. This means that the demand for the Serum DEX will likely increase as the price of Serum surges.

Vincent Munene is a freelance writer and a great blockchain enthusiast. Blockchain has changed his life in terms of financial freedom and in return, he likes to educate people and keep them up to date on everything blockchain. He is a Biochemist by profession and also loves to play the piano.