The Celo Network has just cooked up a partnership with Circle, one of the leading providers of stablecoin services.
As it turns out, USDC is set to launch on the Celo network and will now be used for everything from gas to payments.
Celo on the other hand, is hiding one of the most explosive potential rallies on the market.
Could this partnership be the spark that ignites Celo's bullish flames?
In what has turned out to be a strategic move to expand, the Circle just announced that its USDC will soon become one of the native cryptocurrencies on the CELO blockchain.
This announcement is a huge one for both Circle and Celo and could become just what $CELO needs to achieve real-world use cases, global influence, as well as massive price gains throughout the next bull run.
One of the main benefits of this announcement is not only the price performance of $CELO.
USDC will also become a lot more flexible, in that users will be able to easily convert it into fiat currencies on the CELO network.
This move comes amid Celo's transition from an EVM-compatible L1 chain to an Ethereum Layer 2 protocol, making it poised to rally alongside others like Avalanche, Optimism and Arbitrum, have we have previously seen in Q4 2023.
An incoming proposal will also give members of the Celo community a chance to vote on making USDC the official gas currency for the Celo ecosystem.
Per the announcement, Mento Lab, one of the biggest stablecoin issuers on Celo already provides other stablecoins like cUSD, cEuro, cREAL (pegged to the Brazilian real), and eXOF (pegged to the West African CFA franc).
This makes the latest addition of USDC to the fray a way of enriching the stablecoin ecosystem on Celo.
Users will now be able to enjoy a wide range of options when it comes to using the Celo network.
Moreover, USDC currently has more than $25 billion in terms of market cap and now stands as the second-largest stablecoin aside from USDT with its $95 billion market cap. In any case, USDC and Celo still remain poised for massive growth, especially as the market gears up for the coming bull market.
CELO is currently under some bearish pressure, as shown by its 17% decline over the last month, and the 7% decline over the last year, as shown below:
To further stoke the bearish flames, despite several cryptocurrencies on the market recovering slightly in the final quarter of 2023, Celo still remains about 93% under its all-time high.
This means that the cryptocurrency is severely undervalued. And in the crypto market, this scenario is known as a "buy the dip opportunity".
According to the weekly chart above, CELO used to trade at an ATH of around $11.
The cryptocurrency has since declined to range between $0.4 and $0.9.
This presents a huge bullish opportunity for investors because if the crypto market wakes up fully for the next bull market, CELO will be poised to take off from the $0.4 zone and rally straight up to its former highs.
Moreover, on the daily chart, CELO is showing signs of an ascending trendline, suggesting that a recovery from previous lows might be imminent.
If the $0.6 support remains unbroken from here, Celo will be poised to make another 40% rally to the upside, in order to retest the $0.9 range high.
Any break above this $0.9 – $1 zone will mean that Celo is back in business, and is poised for one of the most explosive recoveries in the coming bull run.
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