Decentralized finance projects like Ren were only pumped into 2021 to end the year as it began, as higher fees on Ethereum (ETH) led to a drop in activity for many protocols and DeFi gave way to more popular sectors like non-fungible tokens (NFTs)).
This downward trend appears to be changing course now that recent global events have highlighted the benefits of DeFi and the preservation of assets outside the traditional financial system. The REN price has risen by 69% this week from a low of $0.247 on February 24 to a daily high of $0.418 on March 3.
4 hour chart of REN/USDT. Source: Trading View
Three reasons for a potential price reversal in REN are the launch of the first Tier 1 application catalog, the launch of VarenX on Polygon, and several new partnerships and integrations of REN and the Ren Virtual Machine (RenVM).
The biggest recent achievement of the REN project was the release of Catalog, the first application built on the Ren blockchain.
According to Ren, Catalog is a “Metaversal” exchange designed as a secure, decentralized cross-chain exchange (DEX) with built-in liquidity mechanisms that allow users to exchange assets across popular networks at minimal cost.
The catalog liquidity engine will use its own asset pools as well as third-party DEX liquidity, meaning Ren will be able to support a wide range of projects without worrying about liquidity constraints.
Other features in the directory include zero gas fees and low fixed trading fees, the ability to earn passive income from cryptocurrencies held in a directory account without the need to bet or participate in liquidity pools, and future plans to add the ability to connect with a bank. One time deposit and withdrawal account.
VarenX launched on Polygon
Another event that gave impetus to REN was the integration of the VarenX DeFi hub into the Polygon Network.
Up until this point, VarenX was only operating on the Ethereum network, which prevented VarenX from gaining momentum.
Polygon’s low fees have enabled VarenX to offer gas-free transactions through its “FreeWei” feature, which allows users to pay for gas by allowing them to exchange for free.
Related: REN price risk drops 50% after bearish trading pattern emerges
Partnerships and Integration
The third factor that improved Ren’s prospects was the number of partnerships and complementarities that helped strengthen the ties.
Recently, Ren partnered with Kava to join the Kava Pioneer Program, which will distribute RenVM to Kava Network Ethereum on March 8.
Other notable developments include the partnership with DappBack, the integration of renBTC with Vesta Finance, and the inclusion of REN in the Voyager app and exchange.
VORTECS™ data from Cointelegraph Markets Pro began revealing a positive outlook for the REN on February 25, ahead of the recent price increase.
VORTECS Men’s Score, exclusive to Cointelegraph, is an algorithmic comparison of historical and current market conditions drawn from a range of data points including market sentiment, trading volume, recent price movements and Twitter activity.
VORTECS base points (in green) compared to the price of REN. Source: Cointelegraph Markets Pro.
As can be seen from the chart above, REN’s VORTECS rating went green on February 25, peaking at around 81. 56 hours before the price increases by 35.8% over the next three days.