DIA Reaches New Yearly High After 100% Price Increase in Three Days
What's Next for DIA After Yearly High? | Credit: Hameem Sarwar
Key Takeaways
- The DIA price has doubled in value in the past three days.
- DIA announced the release of Lumina earlier in September.
- Will DIA finally break out above the $0.75 resistance area?
The DIA price has trended downward since its all-time high in January 2021. Unlike the rest of the crypto market, the 2023 upward movement has been weak, failing even to break the 2022 highs.
This could all change if DIA breaks out from the $0.75 resistance area, which has existed for over two years. Will DIA break out, and how long will it increase if it does?
DIA Price Goes Parabolic
The weekly analysis shows that DIA has increased drastically in the past two weeks. It is breaking out from the horizontal resistance area at $0.75, which has existed since May 2022.
Previously, the price of DIA made an unsuccessful breakout attempt in March (black icon).
This week, DIA briefly moved above the resistance area but failed to break out. Nevertheless, the Moving Average Convergence/Divergence (MACD) and Relative Strength Index (RSI) have turned bullish since they have crossed their bullish thresholds at 0 and 50, respectively.
If the DIA price confirms the breakout, the next resistance will be $1.15.
Lumina Release
At the start of September, DIA introduced Lumina, an oracle stack built on top of Lasernet, an Ethereum layer-2 rollup.
Lumina is possibly the biggest network upgrade to ever come to DIA.
The DIA token will power the network, allowing for staking and acting as the gas fee token.
This could add a further burn mechanism to DIA and incentivize users to lock up the supply through staking.
A portion of the revenue from the oracle will be used to rebuy DIA tokens , further adding value to holders.
DIA Lumina will be rolled out in three phases: The Testnet, Mainnet, and the Fully Open stack. As of Oct. 1, there is no exact timeline for when these will happen.
In other positive DIA news, the oracle announced a partnership with Termina, in which DIA’s oracles will power Termina’s rollups.
Then, the Binance.us X account provided a weekly recap with DIA as the top gainer.
It is possible that the recent news brought more attention to DIA and Lumina, catalyzing the ongoing increase.
DIA is only the 20th biggest oracle based on its Total Value Secured (TVS) with only $32.44m.
In January 2022, DIA had over $1.65 billion in TVS, ranking 8th with roughly 1% of the Oracle TVS.
DIA holders are hoping that the Lumina release can make it regain a portion of its lost dominance.
What’s Next?
DIA’s daily time frame reading aligns with the bullish ones from the weekly time frame.
DIA has broken out from a descending resistance trend line and validated it as support in September (white icon).
Also, the wave count shows that DIA is likely in wave thee of a five-wave increase (white), which has extended.
If this is the case, the price will break out from the $0.75 horizontal area, validate it as support in wave four and the complete wave five near $1.20.
DIA Above $1
Even though DIA has not performed well in the past few years, it finally shows positive signs in the weekly and daily time frames.
If the DIA price closes above $0.75 as expected, it will likely reach the next resistance area at $1.20, the highest price since 2022.
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