Oracles greatly increase the potential of blockchain technology by granting access to external information. Specifically for the DeFi industry, PYTH is a decentralized oracle system that offers high-frequency, minimal latency financial data. It is extremely accurate and dependable since it gets its real-time data straight from leading trading companies and financial organizations. PYTH's data is also completely verified on-chain.
Why PYTH is Superior to LINK?
One must assess Pyth Network's future value by contrasting it with Chainlink, the industry leader in oracles. While some people think PYTH might overtake Chainlink shortly, taking a more cautious stance provides a more grounded viewpoint.
It's crucial to pay more attention to PYTH's production during the 2025 bull market's zenith than to its unlock timeline. The following unlock is scheduled for mid-2025, most likely following the bull market's apex. 3.62B PYTH tokens have been circulated since January 2025, and this number will not change until May 2025.
On the other hand, Chainlink is dynamically available because of its changeable stake reward rate. The real inflation rate, however, presents a different image. In just 10 months since the most recent unlocking in September 2023, the circulating quantity of LINK has grown from 556,850,000 to 608,099,970, representing an inflation rate of 9.2%.
If this pattern continues, the anticipated Chainlink supply will reach roughly 664,045,167 LINK by May 2025, well before PYTH's next release.
PYTH Development: WTI Price Data
The latest launch will offer aggregate pricing information for WTI and Brent Crude Oil futures agreements for the first, second, and third months. Non-expiring agreements for difference (CFD) values will also be offered.
Pyth obtains oil price information from reliable financial organizations, such as transfers, price makers, and index providers, by combining inputs from reliable sources.
This strategy may increase the dependability of DeFi protocols and make the energy market more appealing to retail and institutional investors by eliminating the requirement for a single-source info feed.
With the accessibility of on-chain oil market information, applications for DeFi beyond cryptocurrencies may become possible, allowing developers to create trading networks, hedging tools, decentralized financial instruments, and more.
The initial DeFi application to use Pyth's oil price data will be Storm Trade, an ongoing futures trading system on Telegram. With Storm Trade, users may trade FX, cryptocurrencies, and commodities with leverage.
PYTHUSD Technical Analysis
In the daily chart of PYTHUSD, the recent showed a strong bearish exhaustion wiping out bulls from the market. As a result a new all-time high is created, taking the maximum patience level of bulls.
In the current structure, the bullish rebound after the exhaustion took the price above the 200 day Simple Moving Average line. However, the 50 day EMA is still above the current price and working as an immediate resistance. Another barrier for bulls is the high volume line since August 2024.
The most active level since August is spotted at the 0.4130 level, which is just above the current price. Primarily, investors should monitor how the price reacts at the high volume line, where a solid bullish breakout could be a trend continuation signal.
On the other hand, a deeper discount is possible in case the 200 day SMA is invalidated. In that case, a bearish daily candle below the 0.3400 level could be an alarming sign, which could lower the price towards the 0.2200 low.
