Although the market is experiencing a massive pullback after the month-long rally, some outliers are continuing their upward march. Stacks (STX) is one of the few altcoins that managed to turn the bearish tide and even went against the market. According to Coingeckothe token has risen almost 21% in the weekly time frame.
However, STX is starting to feel the pressure. At the time of writing, the token has already fallen 3% in the past hour. This raises the question of whether STX bulls can continue the rally or will falter along with the others.
A new project enters the fray
In an exciting turn of events, the Stacks Status update about network congestion that happened yesterday.
“An exciting new project was launched this weekend that brings Ordinals and Stacks closer together. We’re very happy to see it, but as a result the network will see higher costs and likely congestion,” the X account said in their recent thread.
This event is being taken as a sign that Stacks is entering a painful growth phase that may or may not mean a brighter future for the network. However, walking alongside this congestion is the most recent blog post from the development team.
An exciting new project was launched this weekend that brings Ordinals and Stacks closer together. We’re thrilled to see it, but as a result the network will see higher costs and likely congestion. More????
— Stack Status (@stacksstatus) December 17, 2023
According to muneeb.btcthe code for the Nakamoto Testnet (now branded as Neon) is incomplete and will be launched by the end of the month.
Nakamoto will be the update that will define the network.
STXUSD trading at $1.095 on the daily chart: TradingView.com
The Stacks’ Notion site announced:
“The Nakamoto release brings many new capabilities and improvements to the Stacks blockchain by focusing on a series of core improvements: improving transaction speed, improving transaction finality guarantees, limiting Bitcoin miner MEV (miner extractable value) opportunities that impact PoX, and increasing robustness against chain reorganizations.”
If this testnet launch improves the usability of the network and the experience of its users, it will certainly make for a bullish end to the year for STX.
Related reading: Internet Computer Loses Grip at $10, But Still Marks an 82% Rally – Details
Stacks stuck between two stones
At the time of writing, the STX bulls are trying to break the $1.1185 price ceiling that the bears have been holding since the beginning of the month. If the bulls manage to reach this price level, STX will continue to reach higher highs.
However, current market conditions could prohibit such price movements. Even with a bullish case for year-end, the token could stabilize between $0.9594 and $1.1185 the next few days.
Featured image from Pixabay
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