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Celestia’s recent announcement to scale its blockchain network block size to 1 gigabyte (GB) has injected fresh optimism into the market for its native token, Celestia (TIA).
The ambitious plan, revealed in a detailed roadmap, aims to significantly boost data throughput and expand the functionalities of Celestia’s rollup ecosystem.
Following the news, analysts and investors are reconsidering their positions on TIA, which has faced a challenging year marked by bearish trends.
Celestia (TIA) price has dipped by 27% in 3 months
Despite being up 91.42% over the last 12 months, Celestia (TIA) has been on a bearish trend for the better part of 2024.
As of the latest data, TIA is trading at $4.02, marking a 2.3% decline in the past 24 hours. This drop comes after a slight recovery attempt, with TIA previously reaching a high of $4.13 before facing resistance.
Over the last month, TIA has experienced a notable decline of 18.9% and a more significant drop of 27.7% over the past three months.
Celestia’s ambitious roadmap to 1 gigabyte blocks
In the unveiled roadmap Celestia outlines a bold strategy to scale its block size to 1 gigabyte, a move expected to revolutionize its blockchain scalability.
The core objective of this plan is to enhance data throughput within Celestia’s rollup ecosystem, allowing for the deployment of high-throughput, on-chain applications previously deemed impractical.
By moving beyond the constraints of monolithic layer-1 networks, Celestia aims to offer a scalable, high-performance environment for developers.
The roadmap is organized into three main workstreams: Abundant Blockspace, Verifiable Blockspace, and Frictionless Blockspace.
The Abundant Blockspace track focuses on optimizing Celestia’s consensus and data availability networks to support larger blocks and improved transaction throughput.
Verifiable Blockspace will ensure that data can be verified by anyone, on any device, enhancing security and accessibility. Finally, Frictionless Blockspace aims to streamline interoperability and improve the developer experience.
The strategic emphasis on increasing block size reflects a broader industry trend towards enhancing blockchain scalability and reducing transaction costs.
It positions Celestia in direct competition with other protocols like EigenDA and Avail, as well as Ethereum’s recent updates aimed at improving layer-2 scaling.
Celestia needs to stay above $3.93 for a bullish breakout
The announcement of the 1-gigabyte block plan has ignited a shift in TIA’s market sentiment. Analysts believe that this move could turn the tide for Celestia (TIA), which has been in a downward spiral.
Notably, the potential for increased transaction capacity and new application possibilities could attract more investors and developers to the Celestia ecosystem.
This could make the TIA token an attractive investment for investors, which could consequently lead to an increased demand and a possible price surge.
Price analysis shows that TIA needs to stay above the $3.93 mark to potentially move towards the first major resistance level at $4.48.
A breakthrough at this level could pave the way for a rise to $5.711 and eventually to the third resistance at $6.41.
The ambitious scaling plan may provide the necessary momentum for TIA to break out of its current bearish trend and achieve these higher price targets.
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