Liquity (LQTY) is the utility and revenueโearning token of the decentralized borrowing protocol Liquity, allowing users to borrow the stablecoin LUSD against ETH collateral with low minimum ratios.
The token trades around ~$0.31โ$0.33 USD, far below its peak near $62.97 (2021), reflecting extended longโterm decline alongside broader DeFi weakness.
Recent modest price fluctuations are tied to technical pressure, moving averages being bearish, and selling seen ahead of ecosystem airdrop distributions.
Liquityโs protocol fundamentals include interestโfree borrowing and a stablecoin (LUSD) backed by ETH, giving some realโworld collaborative demand for the tokenโs staking rewards.
Market cap (~$30โ$32M) with daily volume in the low millions shows moderate liquidity and cautious sentiment among traders.
Traders watch support near recent lows and any uptick in Total Value Locked (TVL) or protocol upgrades as potential catalysts for upside.
@Liquity $LQTY #LQTYtoken #lqty