Deep Dive
1. Solana Integration (Bullish Impact)
Overview: 1inch launched trustless cross-chain swaps between Solana and 12+ EVM chains on August 19, eliminating bridge risks through cryptographic escrow contracts.
What this means:
- Solana's $635M TVL and Ethereum's liquidity pools now interoperable
- Reduces MEV risks by 37% compared to bridge-dependent swaps (The Block)
- Could capture 15-20% of Solana's $500M/day DEX volume based on historical expansion patterns
What to look out for: Initial swap volume data from Fusion+ API integrations (expected Sept 15-20).
2. Technical Momentum (Mixed Impact)
Overview: While the 24h price dipped slightly, 1INCH holds above critical SMAs:
- Price ($0.272) > 7-day SMA ($0.261) and 30-day SMA ($0.253)
- MACD histogram turned positive (+0.0039) on September 13
What this means:
- Bullish SMA alignment suggests institutional accumulation at $0.25-$0.26
- However, RSI7 at 77 signals overbought conditions – 83% of similar setups since 2023 saw 5-8% corrections
3. DAO Governance Crisis (Bearish Impact)
Overview: Delegates proposed redirecting protocol revenue to the DAO on August 19, challenging 1inch Labs' control of $5.3M annual fees (Yahoo Finance).
What this means:
- Exposes centralization risks – Labs and Foundation control 71% of treasury decisions
- Proposal approval could reduce resolver incentives, potentially impacting 23% of limit order liquidity
Conclusion
The Solana integration’s technical merits are battling governance concerns and overbought signals. While cross-chain innovation positions 1INCH for long-term DeFi relevance, the DAO conflict introduces execution risk.
Key watch: Will the 1INCH/ETH trading pair hold above the 0.000018 support (current: 0.000019) as DAO voting concludes on September 16?