Velvet (VELVET) dey surge for SpaceX pre-IPO synthetic markets; $2 target dey focus
Velvet (VELVET) don go up gobe, e jump pass 1,400% for the past week as traders dey chase pre-IPO demand wey join SpaceX comot go public. For June 12, VELVET rise over 125% intraday reach $1.83 peak, and weekly gains push market cap near $745M, even though total value locked dey under $1M—this one show plenty speculation.
Catalyst: Velvet launch synthetic pre-IPO trading exposure, include SpaceX market (SPCX), plus leveraged access to private firms like OpenAI and Anthropic. Velvet still integrate with Trade.xyz (June 3), make the platform be one unified entry point for trading and execution across asset classes.
Derivatives activity make the move even bigger. Reported open interest climb near $94M, trading volumes pass $108M, and short liquidations add more buy pressure. Thin spot liquidity and small exchange float make the squeeze tight.
Technical outlook: For the 4-hour chart, VELVET dey for overshoot zone after e break Murrey Math resistance near $1.56. The next upside level na "+2/8" extreme overshoot around $1.95, and the psychological $2 target fit reach. Momentum indicators still supportive (4-hour MACD still bullish). Near-term support dey around $1.56, with deeper pullback risk go $1.37.
Bullish
Di na news de gbe for traders sake e dey broadly bullish because e combine one strong narrative catalyst (SpaceX IPO anticipation) wit clear market-structure signals (surging leverage, open interest, volumes and short liquidations). Similar "event-driven" rallies for crypto — wen new trading product show before one high-profile real-world catalyst — usually attract momentum traders first then dem go amplify through derivatives. For here, the reported leverage and liquidity squeeze help push VELVET up, make am more likely say e go continue short-term toward the stated $1.95 and $2 levels.
But the same dynamics still raise near-term risk. Overshoot/extended technical conditions plus thin spot liquidity normally increase the chance of sharp pullbacks if demand fade after the IPO headline or if leverage unwind. For longer-term, sustainability depend less on the IPO hype itself and more on whether Velvet’s pre-IPO synthetic markets turn into durable usage and liquidity. Until then, the move likely go remain headline-sensitive, with volatility staying high.