TLDR
- Jupiter (JUP) token spiked 18% on Monday before cooling to 4% daily gains as Solana DeFi activity surged
- The rally was driven by Jupiter’s announcement of a new lending product called Jupiter Lend launching this summer
- Jupiter remains the second-largest DEX aggregator by volume, handling over $1 billion in daily trades
- Analysts attribute the price movement to converging factors including Bitcoin’s breakout above $109,000 and renewed meme coin market activity
- Technical analysis suggests JUP could reach $1 if it breaks above its 200-day exponential moving average at $0.67
Jupiter’s native token JUP experienced sharp price movements on Monday, initially jumping 18% before settling at 4% daily gains. The price action marked one of the day’s top moves among major altcoins.
The sudden spike followed Jupiter’s recent announcement of a new lending product set to launch this summer. Called Jupiter Lend, the platform promises loan-to-value ratios of up to 90%, well above the 75% average for crypto lending.
Jupiter Lend, powered by @0xfluid.
The most advanced money market on @Solana.
Coming Summer, 2025. Be early: https://t.co/VRD1DRcCSf pic.twitter.com/v6c8TM2Htv
— Jupiter (🐱, 🐐) (@JupiterExchange) May 22, 2025
The new lending service will offer fees as low as 0.1%. This represents a competitive advantage in the DeFi lending space where lower fees attract more users.
Jupiter currently holds the position as the second-largest DEX aggregator in the crypto industry. The platform processes more than $1 billion in daily trading volume according to DeFiLlama data.
The protocol accounts for over a third of the DEX aggregator market share. Only 1inch surpasses Jupiter in this category.
Multiple Factors Drive Price Movement
Min Jung, an analyst at Presto Research, told Decrypt that the spike was less about any single catalyst. The movement reflects converging developments driving bullish sentiment across the market.
The analyst pointed to the Huma Finance token sale where Jupiter staking is rewarded. Signs of life returning to the meme coin space also contributed to the positive momentum.
Bitcoin’s rally played a crucial role in the broader market uplift. The leading cryptocurrency reached a new all-time high of $111,814 last week before pulling back to current levels around $109,003.
Kadan Stadelmann, CTO of Komodo Platform, noted how Jupiter is riding on Bitcoin’s momentum. The gains have coincided with wider market movements sparked by BTC’s breakout.
Jupiter rose over 22% this past week to $0.61 according to CoinGecko data. This performance placed it among several mid-cap tokens benefiting from renewed risk appetite.
Technical Analysis Points to Potential Upside
The technical picture shows JUP approaching its 200-day exponential moving average at around $0.67. A breakout above this level could confirm a bullish outlook for the token.
Technical analysts suggest the most powerful buy signal would come from a golden cross formation. This occurs when the 21-day EMA crosses above the 200-day EMA.
Historical data shows mixed results from this signal. One previous occurrence resulted in short-term gains of 40.5%, which could push JUP toward $1 per token.
The daily price chart indicates JUP’s bullish structure has held well during recent pullbacks. Momentum remains strong as the Relative Strength Index has crossed above its 14-day moving average.
However, shorter timeframes show potential resistance. The hourly chart reveals strong selling pressure at the $0.62 area, where price has retreated multiple times in recent weeks.
Solana Ecosystem Growth Supports Fundamentals
Arjun Vijay, founder of Indian crypto exchange Giottus, highlighted Solana’s total value locked nearly doubling since April. TVL increased from $11 billion to $20 billion during this period.
This growth in Solana’s DeFi ecosystem corresponds with a surge in Jupiter’s trade volume. The platform benefits directly from increased activity on the Solana blockchain.
Jupiter operates exclusively on the Solana blockchain currently. Expansion to multiple chains could potentially increase trading volumes and market share against competitors like 1inch.
DEX aggregators consolidate price data from multiple exchanges to provide users with optimal trading routes. They guarantee access to the lowest possible prices for each transaction.
The project’s positioning in Solana’s DeFi stack continues to strengthen as the ecosystem grows. This represents a longer-term validation of Jupiter’s market position rather than short-term speculation.
Jupiter announced plans to reveal a new milestone reached by its decentralized exchange within hours of the recent price movement.
Stay Ahead of the Market with Benzinga Pro!
Want to trade like a pro? Benzinga Pro gives you the edge you need in today's fast-paced markets. Get real-time news, exclusive insights, and powerful tools trusted by professional traders:
- Breaking market-moving stories before they hit mainstream media
- Live audio squawk for hands-free market updates
- Advanced stock scanner to spot promising trades
- Expert trade ideas and on-demand support
