As you know, LIXI trading started this month on CPT Point internal exchange. This event actually marked the beginning of a new era in the development of our project. And this time, we enter it having well learned the lessons of the previous ones.
Despite the fact that trading is currently available only to large LIXI holders, we are sure that all project participants are closely following the inner market’s movements. In today’s post, we would like to answer potential questions related to this month’s trade .
First of all, let us explain why we admitted only the largest holders to LIXI trade after the token entered the market. The reason is they own the largest share of the total LIXI emission, and therefore are most interested in maintaining the token price at a decent level while keeping it attractive for new large players entering the project. In addition, those large holders are providing the financial resources making it possible for the rest of the participants to fix their profits.
Many users wonder whether large holders trade manually, or some trading bots are actually doing the work. In the world of professional trading, “manual” operations are quite rare, so we reasonably assume that the interests of a number of large holders are represented by trading bots. We have recently recorded some significant upward price jumps up to $1 per token, but it is difficult to say whether they were the result of a trading bot being used by one of the traders, or their deliberate strategy. In our opinion, the fair price of the token at this stage could be estimated around $0.02-0.03 per token. However, we are sure that this is only the beginning and those upward price jumps could be interpreted as potential support levels in the future.
Another result of the May trading is the increase in the value of the CPT token, the LIXI predecessor. CPT can still be exchanged for LIXI at a one-to-one rate at any time, so even despite 95% of the tokens received being frozen after the exchange, the increase in CPT price may allow an instant profit. As a result, CPT price has been going upwards and according to our forecasts it may reach the placement price (0.006-0.008 $) and even exceed it.
And now the hottest question: how to fix profit on the wave of LIXI growth and convert it into liquid assets?
In traditional crypto projects, this is achieved via free token trading. However, in today’s conditions of enormous market volatility, there is a very real danger of the collapse of the whole still nascent project economy due to a single short-term market panic episode.
Therefore, in order to support the token price at reasonable levels during the initial growth stage, we are building a brokerage service that will enable private traders to operate LIXI —USDT exchanges.
We will also support secondary trading by providing a convenient p2p trading tool on the platform. With its launch, all platform users will be able to make direct deals with each other, while the platform itself will function as an escrow protecting the countersides from fraud.
And lastly, many have probably already noticed that the LIXI token is currently being traded only against the USDT stablecoin.
We have deliberately made the decision to avoid pairing LIXI with volatile coins such as Bitcoin or Ether in order to protect our economy from the effects of the overly volatile market. We want spring and summer to stay and always remain the only seasons of our project, no matter what times dominate in the other coins’ markets. And the upcoming launch of new projects will help us provide the best weather for all members of our ecosystem.
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Your Cryptaur Team