Why is Kaspa price up today?

Traders Union
All News
Crypto
Kaspa surges 10.21% today to $0.0354

Highlights

Kaspa's BlockDAG saw daily trading volumes surge 52% to $21.12 million, while on-chain activity climbed 30%, indicating rising network engagement.
With around $50 million locked and 80% of tokens circulating, Kaspa prepares to launch KRC-20 smart contracts for DeFi expansion.
Short-term price momentum is strong but overbought conditions and weekly sell signals point to downside risk within the $0.0291–$0.0354 range.

Elevated network activity and upgrade plans as trading volumes surge

Kaspa's BlockDAG protocol is seeing increased adoption, with daily trading volumes reaching $21.12 million — 52% higher than the previous 30-day average — and a 30% estimated rise in on-chain transactions reflecting heightened network activity. The network currently holds a total value locked of around $50 million, maintains approximately 80% of its 28.7 billion total token supply in circulation, and enforces annual halvings to manage inflation at near 5%. Additionally, Kaspa is planning a major upgrade to introduce programmable smart contracts (KRC-20), enabling DeFi applications and supporting further development.

Anton Kharitonov, expert at Traders Union, notes that despite a sharp daily increase in KAS, the price is still struggling below its MA-200 and surrounded by overbought signals. He believes lingering bearish structure and a weak long-term trend limit upside, with the risk of correction heightened by dominant Sell signals on the weekly chart. Kharitonov points out that rising network activity and the planned smart contract upgrade may be boosting sentiment, but sees the persistent supply inflation and high volatility as major concerns. He cautions that dynamic support at $0.0313 is fragile and a break below could trigger a fresh downtrend. "I see more downside risk than opportunity here — bullish momentum looks overstretched and sustained gains are unlikely without evidence of long-term reversal."

Viktoras Karapetjanc, expert at Traders Union, sees the recent surge in daily volumes and on-chain transaction activity as clear signs of strong demand and interest in Kaspa. He highlights the network’s upcoming smart contract upgrade and healthy circulating supply as critical drivers, ensuring further development and unlocking new DeFi opportunities. Karapetjanc maintains a constructive tone and views current momentum above key moving averages as affirmation that the bullish structure remains intact, despite short-term consolidation. "These fundamentals and technicals together support further growth potential — the market is setting up for new opportunities as KRC-20 approaches."

Jainam Mehta, market strategist, believes Kaspa presents a mixed technical picture, with short-term strength but a capped upside under MA-200. He sees tactical scenarios: a sideways range is likely, yet intraday sentiment indicators may allow for nimble trades on volatility spikes. Mehta suggests careful monitoring for a breakout above $0.0360 or a breakdown below $0.0313. "Divergences in momentum and sentiment could present contrarian trade setups if volatility persists next week."

Mixed momentum signals as price faces near-term resistance

KAS is trading above its MA-20 ($0.0305) and MA-50 ($0.0318), while remaining well below the longer-term MA-200 ($0.0513). This suggests short- and medium-term bullish momentum, but a lingering long-term bearish structure. The nearest dynamic support is at the Kijun level ($0.0313), with resistance likely at the $0.0360 area, which is just above the current price and MA-50. Momentum readings paint a mixed picture: D1 MACD and ADX are neutral, D1 RSI (64.95) is bullish, while Stoch RSI and CCI signal overbought conditions. BBP indicates buyer dominance in intraday movement, and the AO supports upward trend continuation.

Earlier, analysts noted that Kaspa was displaying short- and medium-term bullish momentum despite ongoing long-term resistance and mixed technical indicators. The current assessment reinforces this outlook, highlighting that while a breakout above immediate resistance remains unlikely, traders should closely monitor the $0.0313 support area as a pivotal threshold for downside risk in the near term.

Source of Data: KAS Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

This material may contain third-party opinions, none of the data and information on this webpage constitutes investment advice according to our Disclaimer. While we adhere to strict Editorial Integrity, this post may contain references to products from our partners.