Bitcoin's DeFi Expansion: Velar Launches PerpDEX for Leveraged Trading
2min read Bitcoin has taken a significant stride in the decentralized finance (DeFi) space with the launch of Velar’s PerpDEX, the first perpetual exchange native to Bitcoin. Built on Stacks, a Layer 2 Bitcoin network, PerpDEX allows traders to engage in BTC perpetual trading with leveraged futures while maintaining full control over their assets. This innovation distinguishes PerpDEX from existing exchanges that require users to wrap their Bitcoin or rely on third-party custodians. The inaugural trading pair, sBTC-USDh, powered by Hermetica’s synthetic Bitcoin dollar, opens the door to a new array of financial products within the Bitcoin ecosystem.
Velar PerpDEX is engineered to bring deep liquidity and advanced trading tools to the Bitcoin ecosystem. Leveraging Stacks’ rapid block times and decentralized infrastructure, the platform facilitates seamless BTC perpetual trading with Bitcoin-backed finality. This development is pivotal for the Bitcoin DeFi market, as perpetual trading has traditionally been a domain exploited by Ethereum and other smart contract blockchains. As more trading pairs are anticipated, BTC holders will gain enhanced access to derivative markets while remaining within the Bitcoin network.
The introduction of PerpDEX holds the potential to unlock substantial value within the Bitcoin DeFi ecosystem. It enables long-term BTC holders to deploy their capital more efficiently while mitigating custodial risks. Velar’s integration with USDh ensures that users can trade with a Bitcoin-native, yield-bearing stablecoin, further solidifying Bitcoin’s role in DeFi. As institutions and traders explore new opportunities in Bitcoin-based derivatives, it is plausible that price movements will reflect rising demand for these innovative financial products.
Ask Aime: What is the PerpDEX and how does it change the Bitcoin ecosystem?
Bitcoin’s price action on March 28 showed a volatile trend. The day began with a downward path, but at 00:40 UTC, a golden cross on the MACD suggested a potential price rise. However, a death cross at 2:00 UTC confirmed a fresh negative trend. Another death cross at 04:30 UTC reinforced the downward movement. Despite an oversold signal from the RSI and a subsequent golden cross at 05:45 UTC, selling pressure persisted. A short-term support zone at $85,000 was established, providing a platform for a slight price recovery. The price of Bitcoin fluctuated between $83,530 and $85,840, with a new support level at $83,530. As of March 29, Bitcoin continued to trade in a narrow range, indicating market hesitation and caution.
The launch of Velar’s PerpDEX marks a significant milestone in Bitcoin’s DeFi journey, enabling traders to access leveraged perpetual contracts with full custody of their assets. This breakthrough has the potential to unlock substantial capital within the Bitcoin ecosystem. However, the immediate impact on Bitcoin’s price remains uncertain. Despite the support at the $83,530 level holding, Bitcoin continues to trade within a range-bound consolidation between $83,740 and $84,600, reflecting market indecision. Over the coming days, it will be crucial to monitor whether Bitcoin breaks above this range or experiences further downside. Traders should watch for confirmation from signals like MACD and RSI to determine the next course of action.
