Stacks- A Bitcoin layer for smart contracts

Stacks is a Bitcoin layer for smart contracts. The Stacks layer enables DeFi, NFTs, and other decentralized apps built on Bitcoin.

Consensus mechanism- Proof of Transfer

It is an extension of proof of burn. It utilizes both the Stacks and Bitcoin layers. Miners use already mined BTC and reward in STX. There are two major network participants

Miners- It uses a Nakamoto-style single-leader election. PoX miners bid by simply spending BTC, and they have a bid-weighted random probability of becoming a leader.

Stackers- They lock their STX holdings for one or more multiple cycles. Stackers provide a BTC address to receive their rewards.

The Stacks blockchain allows for increased transaction throughput using a mechanism called macroblocks. Microblocks are a protocol-level feature of the Stacks blockchain that solves the technical challenge of transaction latency.

The main feature-

Transaction per second -7

Smart contract language - Clarity

STX20-

STX20 The first inscription protocol on Stacks Network which is constrained to 34 symbols. It is a novel method with less computational effort. The Bitcoin smart contract layer Stacks contained 10,371 transactions in block 132,377, or the most transactions ever in a block on Stacks, driven primarily by STX20 inscription minting activity on the Stacks.

STXUSD prices jumped more than 75% from the Dec low of $0.8174.It hit a high of $1.444 and currently trading around $1.4297. The pair is holding above the short-term (21 and 55-day EMA) and above the long-term moving average (200-day EMA).

The near-term resistance is around $1.60, any indicative breach above will take the pair to $2/$2.70. On the lower side, immediate support is $1.30, and any violation below targets $1/0.80.

Indicators ( Daily chart)

CCI(50)- Bullish

Directional movement index - Bullish

It is good to buy on dips around $1.20 with SL around $0.80 for TP of $2/$2.70.