LayerZero’s native token, ZRO, has jumped more than 7% in the past 24 hours to trade at $1.65 at the time of writing.

Notably, this price hike comes amid broader market weakness, where many assets have struggled to hold their ground.

Despite the challenging conditions, ZRO has shown resilience, testing key technical levels that could shape its short-term trajectory.

A major factor supporting ZRO’s price surge is the finalisation of its token transition.

The LayerZero Labs co-founder and CEO, Bryan Pellegrino, has confirmed that all remaining STG tokens held by the DAO have been permanently burned.

This move removes any uncertainty about leftover STG overhang that could have weighed on the market.

In addition, the STG-to-ZRO conversion contract remains fully open, allowing holders of the old STG token to continue swapping for ZRO, ensuring a smooth transition and consolidating the ecosystem around a single, canonical token.

With STG now officially rebranded as ZRO, the protocol has completed its token restructuring, giving investors a clearer picture of circulating supply.

ZRO’s circulating supply currently stands at approximately 202.6 million tokens, while the total and max supply are both capped at 1 billion.

The burn of remaining STG strengthens the narrative of scarcity, and market participants are now able to focus on price action and technical setups rather than token uncertainty.

From a technical perspective, ZRO is testing a crucial resistance zone.

Analyst Volodymyr has highlighted that the baseline of the Keltner Channel, combined with a horizontal resistance level, forms a key barrier.

A decisive break above this zone, followed by a successful retest, could signal a strong bullish move.

However, caution is warranted, seeing that the current market conditions are bearish, which increases the risk of fake breakouts.

Momentum can be deceptive in such environments, and traders are advised to confirm any breakout before committing heavily.

If buying momentum continues and the token holds the $1.50 support, the next area of interest lies between $1.80 and $2.00.

These levels could act as short-term targets if bullish pressure persists, and if they are broken, the token could rise towards the subsequent resistance area around $2.26 or even further upwards to $2.55.

On the downside, the token is vulnerable if market hype fades.

A break below $1.50 could trigger a rapid drop toward $1.30, emphasising the high-risk nature of the current rally.

If the altcoin slips below $1.30, historical price data highlights another support zone near $1.08, which, if broken, could mean a confirmed bear market in the longer term.

The post LayerZero (ZRO) price outlook as it rises over 7% amid market slump appeared first on Invezz

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