Compound Token COMP Surges 85% Following Upbit Listing Announcement
The price of Compound's native token #COMP surged 85% following its listing on South Korean exchange Upbit, trading around $50.87 after a subsequent retracement. The new trading pairs (COMP/KRW, COMP/BTC, COMP/USDT) aim to enhance liquidity in the DeFi market.
Upbit implemented transaction restrictions to stabilize the market, including:
- Five-minute buy limit
- -10% lowest selling threshold from previous closing price
- Limitations on order types
Reports surfaced that founder Robert Leshner sold 50,000 COMP tokens through Galaxy Digital, valued at approximately $3.19 million. This sale raised questions about potential insider activity, as the tokens were transferred back to Binance shortly after their initial transfer when they were worth $2.03 million.
The current outlook for COMP shows:
- RSI at 62, indicating bullish momentum but nearing overbought territory
- Bollinger Bands suggest volatility, with resistance at $51.55 and support near $48.18
- MACD shows a bullish crossover; however, the signal line remains negative
Investors are monitoring developments closely, particularly concerning Leshner’s response to the allegations.