Synthetix (SNX) Price Prediction 2024, 2025, 2030

Since its launch in 2018, Synthetix (SNX) has followed significant crypto market trends, reaching its all-time high (ATH) in February 2021 and then experiencing a decline. However, since October 2023, SNX has shown strong resilience by entering into a long-term bullish trend. It saw an impressive ROI of over 120% in just under three months.

This article offers a Synthetix price prediction up to 2030, highlighting its historical price movements and current market trends. It also covers how Synthetix’s unique features and ongoing developments in the wider blockchain ecosystem might shape its future.

Synthetix Price History

Analyzing the historical price trends of a crypto can offer valuable insights into market patterns and investor sentiments.

While past performance is not a definitive predictor of future outcomes, understanding the price history of SNX offers important context, helping to gauge its possible future direction.

Since its debut in the market in 2018, SNX has mirrored the larger movements of the crypto market. Here’s a detailed look at its price history:

• Initial Market Entry in 2018: Synthetix entered the market in March 2018 at approximately $0.45. It faced challenges during the crypto winter that followed the 2017 bubble burst, hitting an all-time low of $0.034 on January 6, 2019.
• 2021 Bull Run: In early 2021, the crypto market witnessed a massive broader market recovery. SNX followed the market trajectory, reaching an all-time high of $28.5 on February 14, 2021.
• Mid-2021 Fluctuations: After its peak, SNX saw a decline, with significant drops during the great crypto crash on May 19, 2021. Despite a brief recovery in July, the price closed the year around $7.2.
• Challenges in 2022: SNX started 2022 positively but faced a downturn following the geopolitical events and market disruptions, including Russia’s invasion of Ukraine and the de-pegging of UST stablecoin. The token’s value dropped to record lows, with a notable decline to $1.45 on June 18, 2022, following the market’s dullness after the Celsius platform’s collapse.
• Late 2022 Recovery and Decline: A recovery phase saw SNX cross $4 in August 2022. However, following the collapse of the FTX exchange in November, the token fell to a low of $1.5, closing the year at $1.4.
• 2023 Uptrend and Resistance: 2023 began positively for SNX, testing the $3.1 resistance level multiple times. A consolidation phase was seen between $1.8 and $3.4, eventually leading to a significant bull run breaking the $4.2 barrier, with a gain of over 147% in just over 50 days. This bull run also chalked out a classic ascending channel on SNX’s daily chart. This also highlights the possibility of a potential decline from this steep uptrend.

Synthetix Price Prediction 2024

As we navigate through 2024, It’s crucial to consider the coin’s performance near key support and resistance levels, which are key in shaping its near-term and long-term price movements.

The immediate focus is on the $4 support level. If buyers initiate a rebound from this point, SNX could witness a positive short-term outlook.

An important factor in determining the coin’s future trajectory will be its performance relative to the $5 resistance level.

A strong breach above this level could signal the beginning of a long-term upward trend. For investors, a confirmed close above this resistance level would be an essential indicator for potential upside movements in the near term.

If SNX successfully crosses the $5 mark, the next significant target for buyers would be to challenge and potentially retest the $8 resistance level, paving the way for a more decisive rally. 

As indicated by tools like the Bitcoin Fear and Greed Index, the broader market sentiment currently suggests a tendency towards buying, which could support further upward movements in SNX’s price.

Additionally, Synthetix enables liquidity providers to contribute collateral to liquidity pools, from which they can loan out snxUSD stablecoins. 

This mechanism mirrors other DeFi protocols with collateralized debt positions and could improve the protocol’s appeal and ultimately attract more users over the year.

According to forecasts by Digital Coin Price, SNX is expected to cross the $9 mark in 2024. This projection aligns with the positive sentiment and technical analysis, suggesting a potential upward trajectory in the months ahead.

Synthetix Price Prediction 2025

As we head into 2025, the crypto market will likely continue to show signs of growth as investors look for the best cryptos to trade.

Several factors, including network developments and broader market trends, can influence Synthetix’s performance in the next year.

Synthetix, a DeFi protocol known for its decentralized and open-source nature, primarily operates on EVM-compatible blockchains. Governed by DAOs such as the Spartan Council, it frequently undergoes upgrades and configuration changes that could significantly impact its price:

• Derivatives Market Credit Extension: A unique aspect of Synthetix is its capability for liquidity pool managers to extend credit to derivatives markets. These markets often depend on decentralized oracle networks for off-chain asset pricing, creating on-chain derivatives. This function supports the derivatives market and incentivizes liquidity providers by reducing their debt.
• Fee Collection and Incentives: By extending credit to markets, which can collect and deposit fees, Synthetix creates a lucrative incentive for liquidity providers. This mechanism could increase protocol usage and, by extension, impact the SNX token’s value.
• Open Interaction with Synthetix V3: The ability for anyone to interact with the Synthetix V3 core system and market implementations could ‘democratize’ access, potentially increasing the network’s utility and appeal.

The potential impact of these upgrades can help Synthetix attract new users over the next year. Consequently, Synthetix could reach around $12 by the end of 2025.

CoinCodex also offers an optimistic prediction, suggesting that SNX could rise to $16.42 in 2025.

It’s crucial to understand that these forecasts depend on existing trends and events in the market. Various factors, including regulation changes, technological progress, and fluctuations in investor attitudes, can greatly influence prices.

Synthetix Price Forecast 2030

As we look further into 2030, the global blockchain market, previously valued at $11.14 billion in 2022-23, is expected to surge to $469.49 billion, with an impressive CAGR of nearly 60%. 

Synthetix will likely improve its platform utility via network upgrades and ultimately can attract more users, especially with the recent launch of Synthetix V3.

Synthetix V3 is tailored for liquidity providers (LPs) and derivatives markets. It allows derivatives projects to access Synthetix liquidity for various market types, including perpetual futures and spot synths. This versatility could boost trading activity and liquidity.

Other updates that could have a long-term impact are;

• Cross-Chain Interoperability: Synthetix’s goal of powering derivative markets on any EVM chain aims for a fully interoperable system likely to appeal to traders across various blockchains.
• Liquidity as a Service: V3’s model positions Synthetix as a crucial liquidity layer, not just a derivatives protocol. Using its high liquidity, this approach enables Synthetix to support a diverse range of markets, from traditional options to exotic derivatives.
• Risk Management and Collateral Flexibility: Introducing a new Pool and Vault system in V3 offers LPs better risk management and a wider range of collateral options. This oracle system permits using any governance-approved asset as collateral, improving user control over risk exposure.
• Multi-Collateral Staking: With V3, staking in Synthetix evolves to include multi-collateral options and permissionless pools. This development gives stakers more control and choice in capital allocation, potentially attracting a broader user base.

By 2030, with increased user and developer engagement and the broader market’s growth, SNX could reach a high of around $27. Also, Digital Coin Price predicts a nearly $30 valuation for SNX in 2030.

When looking for the best long-term investments, It is important to understand and consider the overall Bitcoin sentiment and macroeconomic factors. As the crypto landscape evolves, these external influences will be critical in shaping SNX’s trajectory.

Potential Highs & Lows of Synthetix Price

Here’s a quick summary of the Synthetix price forecast from 2024 to 2030:

What Do Other Analysts Predict For Synthetix?

When assessing the future value of Synthetix, it’s important to consider various predictions from different analysts. These projections are based on past performance and market analysis. The predictions vary among analysts, but there is a consensus on the growth potential of Synthetix.

As we analyze Synthetix’s future potential, it’s important to consider these predictions as educated projections rather than certainties, given the inherent volatility of the crypto market.

What is Synthetix?

Synthetix is a decentralized protocol built on Ethereum, designed to facilitate the issuance and trading of synthetic assets known as “Synths.”

These Synths mimic the value of real-world assets—like currencies, commodities, stocks, and indices—providing users exposure to various assets without the need to hold the underlying assets themselves.

How Synthetix Functions

Synthetix operates through a series of ERC-20 smart contracts, allowing users to create and trade Synths. These Synths track the value of the represented assets using decentralized oracles for price discovery. This setup means if you’re holding a synthetic version of gold, you’re exposed to gold’s price movements without owning any physical gold.

The native token of Synthetix is the Synthetix Network Token (SNX). Users stake SNX as collateral to mint new Synths, maintaining a collateralization process crucial for the stability and trust in the system.

This mechanism also allows Synthetix to provide liquidity to other DeFi platforms, improving its integration and utility within the broader ecosystem.

Key Components of Synthetix

• Kwenta: Kwenta is Synthetix’s DEX, where users can trade a variety of Synths. Unlike traditional DEXs, Kwenta doesn’t rely on order books. Instead, it facilitates peer-to-contract (P2C) trades, ensuring liquidity and reducing slippage by executing trades directly against a smart contract.
• Synthetix Staking: SNX holders can stake their tokens in the Synthetix protocol to mint new Synths. This process involves locking up SNX as collateral, typically at a collateralization ratio maintained by community governance. Stakers incur ‘debt’ when minting Synths, which fluctuates with the Synthetix network’s total debt and must be managed actively.
• Governance: Initially under the control of the Synthetix Foundation, governance has evolved to a more decentralized model involving three main decentralized autonomous organizations (DAOs): protocolDAO, grantsDAO, and synthetixDAO. These bodies oversee different aspects of the protocol, from upgrades and funding to broad development efforts.

The platform’s offerings have expanded to include features like perpetual futures markets, allowing users to take long or short positions on various assets with leverage. 

These markets stand out because of the liquidity that stakers provide, which offers substantial liquidity, reasonable fees, and a distinctive trading experience in the DeFi space.

Staking SNX involves participating in the collateralization of the network, minting Synths, and managing the collateral ratio. 

As a reward for their role in securing and enabling the network, stakers receive a portion of the fees generated from Synth trades and, historically, inflationary rewards (though recent proposals have aimed to end inflationary rewards).

Like any innovative DeFi protocol, Synthetix faces challenges in maintaining sufficient collateralization, ensuring accurate price feeds, and managing its complex system of synthetic assets. Synthetix relies on strong community governance, regular upgrades, and integrations with reliable Oracle providers like Chainlink for secure and accurate price data to address these.

Synthetix Overview

What Factors Influence the Price of Synthetix?

Understanding the factors that impact the price of Synthetix is essential for anyone looking to gauge its potential. Here are key points that show what drives SNX’s market value:

• Adoption and Usage of Synths: At the core of Synthetix are its synthetic assets or Synths. The more these assets are used and adopted, particularly in trading and staking activities on Kwenta and other DeFi platforms, the greater the demand for SNX. Increased usage typically leads to a positive impact on its price.
• Staking Dynamics and Collateralization: SNX price is closely tied to the staking mechanism. Stakers locking SNX as collateral to mint Synths creates a demand for SNX. The collateralization ratio determines how much SNX needs to be staked to mint Synths. A high collateral requirement could mean more demand for SNX, boosting its price.
• Governance and Protocol Upgrades: Decisions made by the Synthetix DAOs (protocolDAO, grantsDAO, and synthetixDAO) regarding upgrades, policy changes, or new feature implementations can significantly influence investor sentiment and, consequently, the price of SNX.
• Expansion into New Markets and Features: The introduction of new features, like perpetual futures markets and expansion into additional asset classes, increase the protocol’s utility, potentially driving up SNX demand and price.
• DeFi Market Dynamics: As a major player in the DeFi space, Synthetix is influenced by the overall health and trends of the DeFi market. Developments in DeFi, be they regulatory changes, technological advancements, or shifts in investor interest, can have a ripple effect on SNX’s price.
• Regulatory Developments: Any regulatory changes concerning cryptos or synthetic assets can impact Synthetix. Positive regulatory clarity can increase investor confidence, while restrictive policies might have the opposite effect.

Best Place to Buy Cryptos in 2024

With thousands of CEXs, DEXs, trading platforms, P2P exchanges to choose from, picking the right one for your trading needs can be tricky.

To save time and research we’ve narrowed the search down to one exchange that is popular amongst both beginners and experienced investors.

MEXC – Leading Crypto Exchange Boasting Low Trading Fees

Currently, the best place to buy cryptos like Synthetix is MEXC. Catering to over 10 million users in more than 170 countries, MEXC stands out with its 0% spot trading fees, making it highly appealing, especially for day traders. 

The platform can handle up to 1.4 million transactions per second and supports 1600+ cryptos. It also offers diverse trading modalities, including futures trading with up to 200x leverage and margin trading.

MEXC has competitive fees, charging only a 0.02% taker fee for futures trading and zero fees for limit orders.

User-Centric Features:

• MEXC Savings: This feature allows users to lock cryptos, including USDT, for attractive Annual Percentage Rates (APRs). The flexible lock options improve user convenience, accommodating short-term and long-term investment strategies.
• Copy Trading: It enables users to mirror the trading strategies of experienced traders, offering a learning curve for beginners and a passive income stream for traders.
• Educational Resources: The platform provides an extensive range of educational materials, helping users navigate the complexities of crypto trading.
• Mobile App: It offers a user-friendly mobile application for iOS and Android devices, ensuring traders can operate on the go.

• Multiple Payment Options: MEXC supports a variety of payment methods, including bank transfers, SEPA, credit/debit cards, and peer-to-peer transactions. Moreover, integration with third-party processors like Moonpay allows purchases through Google Pay and Apple Pay.

Launched in 2019, the platform’s native MX token is central to the MEXC ecosystem. Holders enjoy benefits such as governance participation, trading discounts, and access to exclusive airdrops.

Finally, MEXC prioritizes the security of its users’ assets. It has a 1:1 proof-of-reserve for top cryptocurrencies like ETH, BTC, USDT, and USDC.

Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment and you should not expect to be protected if something goes wrong.

Conclusion

Looking ahead to 2024 and beyond, the performance of SNX depends on several factors. Key among these is particularly the transition from V2 to V3, which aims to improve the user experience and increase the scope of its derivatives market.

The effectiveness of these upgrades, along with Synthetix’s ability to manage its synthetic assets, will be crucial in deciding its future price trajectory.

Some analysts are optimistic about future trends, pointing to technological progress and market expansion, while others suggest a more cautious outlook, highlighting the importance of a balanced investment strategy.

Investors should spread their risks by diversifying their investments. However, selecting promising projects from over 10,000 active cryptos can be tricky.

For insights into cryptos that show real-world utility, visit our ‘Best Cryptos’ page. Click the link below to explore further.

References

• https://coinmarketcap.com/currencies/synthetix/
• https://www.cnbc.com/2018/11/30/bitcoin-fell-37-percent-in-november-erasing-70-billion-from-industry.html
• https://www.coingecko.com/en/coins/synthetix-network-token
• https://www.sciencedirect.com/science/article/abs/pii/S1544612322005359
• https://www.wsj.com/articles/celsius-network-one-of-cryptos-biggest-collapses-ends-bankruptcy-case-85bb7efd
• https://www.nytimes.com/2022/11/10/technology/ftx-binance-crypto-explained.html
• https://alternative.me/crypto/fear-and-greed-index/
• https://www.fortunebusinessinsights.com/industry-reports/blockchain-market-100072
• https://digitalcoinprice.com/forecast/synthetix
• https://coincodex.com/crypto/synthetix/price-prediction/
• https://priceprediction.net/en/price-prediction/synthetix
• https://coinpriceforecast.com/snx

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Yash Majithia

Editor

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Yash Majithia

Editor

Yash is a versatile and seasoned writer and analyst in the crypto space with a strong financial background. Over the past year, he has written extensively for various publications on topics ranging from technical analysis to on-chain analytics, including here at Techopedia. In addition to his writing, Yash has collaborated with blockchain marketing companies to develop compelling content. He has also gained valuable experience working as a senior assurance associate for over three years at an audit firm, where he worked with a range of listed companies. Yash's passion for global exchange and cultural exchange led him to represent his…

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