Key points
- JUP, the native token of the Jupiter DEX, has risen by less than 1% in the last 24 hours but could gain in the short term.
- Jupiter is developing its own stablecoin, JupUSD, through a partnership with Ethena Labs.
Jupiter launches stablecoin JupUSD
Decentralized exchange Jupiter, built on Solana, announced on Wednesday that it will launch its own stablecoin, JupUSD, by the end of the year. The team said the stablecoin will be native to the Solana blockchain and tightly integrated across the Jupiter ecosystem, including its perpetual platform, lending markets, and trading interfaces.
Jupiter is developing the stablecoin in collaboration with Ethena Labs. JupUSD will be fully collateralized by Ethena Labs’ USDtb, a treasury-backed stablecoin supported by treasury funds such as BlackRock’s USD Institutional Digital Liquidity Fund (BUIDL).
JUP eyes $0.50 despite bearish price action
The 4-hour JUP/USD chart remains bearish and orderly, with Jupiter losing about 7% of its value over the past seven days. The announcement of JupUSD’s development could provide short-term upside for JUP’s price.
An RSI reading of 43, below the neutral 50 mark, indicates sellers currently control the JUP/US pair. MACD lines are also in negative territory, signaling a prevailing downtrend.
At the time of writing, JUP is trading at $0.4367. If the token rebounds from its recent decline, it could move toward the TLQ and a resistance level at $0.477. A sustained rally may allow JUP to surpass the $0.50 threshold for the first time since September 22.
Conversely, failure to capitalize on positive ecosystem developments could push JUP down to support near $0.41. That support level is likely to hold in the short term, while bulls attempt to benefit from broader crypto market recovery.