Stacks price soars 15% to a new all-time high as STX TVL peaks
|- Stacks price skyrocketed 15% on Tuesday to clear the $3.2560 peak recorded in 2021.
- The Bitcoin layer 2 token has also recorded a TVL all-time high above $140 million.
- STX could have more gains with $3.5000 milestone in sight as Bitcoin market records heightened capital inflows.
Stacks (STX) price is on a tear, following on the heels of the Bitcoin price surge, which shocked markets on Monday blasting past $57,000 and blowing $100 million in short positions out of the water.
Also Read: Stacks price could trigger 25% rally ahead of Bitcoin spot ETF approval this week
Stacks price takes the Bitcoin cue
Standing among the Bitcoin L2 (L2) tokens, Stacks price has soared over 15% on Tuesday. As a BTC L2, it enables smart contracts and decentralized applications to use Bitcoin as a secure base layer. One sector peer for STX is Rootstock (RSK), with both tokens boasting double-digit gains.
For Stacks, there has been an epic surge in total value locked (TVL) as the Bitcoin market records heightened capital inflows. Data according to DeFiLlama shows a 23% increase in TVL from $114.08 million to an all-time high of $140.46 between February 24 and 27, respectively.
STX TVL
For the layperson, a rise in TVL, effectively representing a rise in capital locked into a protocol, shows a growing user base and increased capital inflows. It also points to greater trust and confidence in the concerned protocol as users find value in the protocol and are open to locking their assets with that protocol.
With Glassnode reporting increased capital inflow into the Bitcoin market, the Stacks price could extend the gains to the $3,500 milestone. Already, STX has cleared its December 1, 2021 peak price of $3.2560, to record a new all-time high of $3.2687.
STX/USDT 1-day chart
However, investors should also beware the risk of volatility, which could see Stacks price plummet, wiping out all the ground covered.
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