3 reasons why the IDEX price and volume soared

IDEX, one of the leading players in the decentralized exchange industry, rose to its highest level since March this year.

The IDEX (IDEX) token gained over 335% from this year’s lows to $0.1150, pushing its market cap to over $70 million. This rise occurred in a high-volume environment, with 24-hour trading volume rising over 4,420% to $318 million.

This increase coincided with the total value of the tin IDEX network reaching a record high of $70 million. Most of this volume is in the Ethereum (ETH) version, with the rest on IDEX Chain and Polygon.

Additionally, data from DeFi Llama shows that weekly trading volume on perpetual futures platform IDEX V4 increased to $84.2 million, the highest level on record. The platform’s all-time volume has now surpassed $388 million.

IDEX V4’s volume is increasing rapidly | Source: DeFi Lama

The cryptocurrency also rose ahead of the launch of Buy & Lock, which is expected to take place later this week. Buy & Lock will be a liquidity initiative to strengthen its on-chain presence.

As part of this service, 100% of all fees generated on the network will be reinvested and locked. 50% of these fees will be used to purchase the IDEX token, reducing the number of circulating supply.

The remaining 50% of the tokens will be matched with the purchased IDEX and added to the Uniswap (UNI) liquidity pool. Developers hope that Buy and Lock will create more value and liquidity for the network.

Starting next week, we are launching Buy and Lock, a protocol-owned liquidity initiative. $IDEXPresence of in the chain.

100% of protocol fees will be reinvested and locked:
1. 50% to purchase $IDEX tokens
2. 50% matched to purchased product $IDEX and added to Uniswap V2… pic.twitter.com/9DS7ehpK54

— IDEX 🐐 (@idexio) December 5, 2024

The new initiative comes after the developers launched the points program that allows users to trade every Friday, accumulate points and then claim rewards. Users can then reinvest these coins and earn as the IDEX price increases.

IDEX price is facing resistance IDEX chart | Source: TradingView

The daily chart shows that the IDEX crypto price rose to $0.1148 on December 9 and then returned to $0.086. This pullback occurred as Bitcoin (BTC) and most altcoins lost value.

The coin remains above the key resistance level at $0.060, the high on August 28. It has broken above all moving averages, which means the bulls are in control.

IDEX moved slightly below the 61.8% Fibonacci Retracement level. Therefore, the coin will likely bounce back and possibly retest this week’s high at $0.1148. A break above this level would indicate more gains, possibly to the March high at $0.1253.