Velodrome Explained: Price Prediction and Crypto Market Trends

Velodrome Team Background

Velodrome Finance is a native decentralized exchange built on the Ethereum Layer 2 scaling solution Optimism. It officially launched on June 1, 2022. The platform aims to promote the development of the Optimism ecosystem by providing a trading environment with deep liquidity, low trading fees, and low slippage. The platform draws inspiration from and improves upon Solidly’s ve(3,3) model, and adopts a dual-token system to manage its functionality.

Velodrome is committed to incentivizing liquidity providers and governance participants, thereby solidifying its core position in the Optimism ecosystem. With its innovative automated market maker (AMM) model, Velodrome effectively integrates decentralized governance, yield capture mechanisms, and efficient liquidity. This not only enhances the protocol’s scalability and sustainability but also creates more stable, long-term participation opportunities and returns for DeFi users.

Velodrome Project Logo (Image source:https://github.com/velodrome-finance)

Project Links:

Official Website:https://www.velodrome.finance/

X (Twitter):https://www.velodrome.finance/

Discord:http://discord.gg/velodrome

Medium:https://medium.com/VelodromeFi

Etherscan:https://optimistic.etherscan.io/token/0x9560e827aF36c94D2Ac33a39bCE1Fe78631088Db

Trading Entry:https://www.Gate.com/zh/trade/VELODROME_USDT

Velodrome Team Background

The founder of Velodrome Finance is German engineer and entrepreneur Lasse Clausen, who has long-term experience and deep involvement in blockchain infrastructure and decentralized finance. In addition, the development and operations team of Velodrome consists of members from well-known blockchain technology companies such as Optimism and ConsenSys, with hands-on experience in L2 architecture and DeFi protocols.

Before launching Velodrome, the team led the veDAO project, aiming to engage deeply with the Solidly ecosystem and explore the real-world implementation of the ve(3,3) model. The team has a systematic understanding of the Solidly protocol, veNFT architecture, and ve(3,3) governance mechanism, and has made optimizations based on this foundation, making Velodrome one of the most representative implementations in this field.

Velodrome Finance founder Lasse Clausen (Image source:https://1kx.network/team/lasse-clausen)

$VELODROME Token Information

Token Name: Velodrome (VELODROME)

Total Supply: 204,700,000,000 tokens

Token Type: ERC-20

Contract Address: 0x9560e827aF36c94D2Ac33a39bCE1Fe78631088Db

$VELODROME On-chain Data (Image source:https://optimistic.etherscan.io/token/0x9560e827aF36c94D2Ac33a3)

From the perspective of tokenomics, Velodrome’s native token VELO is used to incentivize liquidity providers, while the governance token veVELO gives holders governance rights. The former is distributed as rewards for providing liquidity, and holders can choose to lock VELO in exchange for veVELO and participate in protocol governance, including but not limited to deciding which token pairs’ LPs can receive VELO rewards.

VELODROME Dual Token Economic Model (Image source:https://github.com/velodrome-finance)

$VELODROME Market Performance

In the past month, $VELODROME experienced a volatile market with alternating rebounds and pullbacks. Specifically, the price of $VELODROME dropped to a low point in early March (around $0.045), then rebounded and gradually rose in late March, peaking near $0.060, but failed to break through the previous high, forming a short-term top. In April, the price fell again to around $0.0463, near last month’s low.

As of April 6, when this article was written, the latest price of $VELODROME is $0.04675, near a key support zone. If $0.045 fails to hold effectively, further downside may be opened. On the other hand, if a double-bottom pattern forms here with increased volume, an upward trend may resume. In the absence of new positive developments or protocol updates, the market tends to remain cautious, with sentiment leaning towards a wait-and-see attitude.

$PEPU Price Trend from 02/27 - 03/27 (Image source:https://dexscreener.com/ethereum/0x3ebec0a1b4055c8)

$VELODROME Price Prediction

Since the high at the beginning of the year, the price of $VELODROME has formed a clear top structure and has broken below the previous support zone between $0.07 and $0.08. It is expected that after April, the price will continue its slight downtrend, showing a “zigzag” pattern of volatile declines. There are no significant signs of a rebound in the coming months, and the lack of ecological momentum may make it difficult to support a new round of upward movement.

The current bearish trend has not yet ended, and the price may continue to fall. In the short term, it may seek support between $0.03 and $0.05. If the price falls back to the key long-term support level (around $0.03), and is accompanied by a recovery in the macro market environment, it may provide a relatively attractive entry point for mid- to long-term investors. It is recommended that investors remain on the sidelines and wait for confirmed bottom signals or fundamental positives before entering.

$VELODROME Price Prediction (Image source:https://coincodex.com/crypto/pepe-unchained/price-prediction/)

Conclusion

Overall, with its technological innovations and early positioning, Velodrome occupies an important place in the DeFi ecosystem. Currently, the $VELODROME price is under pressure, but its mid- to long-term performance still holds potential. Investors are advised to closely monitor market sentiment changes and protocol developments, and patiently wait for entry signals near key support levels. By reasonably judging rebound timing and risk zones, one may seize the opportunity ahead of a future DeFi market recovery.