Derive Token Surges 40% on V3 Upgrade Plan and Buyback Activity
The Derive (DRV) token has seen a significant surge in price over the past day, increasing by more than 40% as its daily trading volume surpassed $25 million. This comes after a 52% correction from its previous all-time high (ATH) of $0.19.
The altcoin initially rallied following its listing on Upbit, but it soon entered a bear phase that lasted for over two months. However, with the recent hike, DRV bulls are now pushing back against the zone around its ATH.
Despite hitting this zone four times previously, including in the previous rally, the indicators suggest otherwise. On the 4-hour timeframe, DRV's price is trading above the 100 and 200 EMAs, a bullish scenario.
The real catalysts behind the recent surge include network upgrades, buybacks, and staking. The V3 upgrade plan, which will move custody to Ethereum mainnet and split risk books, has driven a 20% rally in DRV's price.
Furthermore, the protocol fees have been used to purchase back the token, with 35% of the fees being used for this purpose. Additionally, staking has helped control the circulating supply, with over 67.63% of the supply currently staked.