Can Velvet price reach $2 as SpaceX IPO hype drives demand?

Velvet price has surged more than 1,400% over the past week as traders pile into the token ahead of SpaceX’s highly anticipated public debut, pushing the project into one of the strongest rallies in the crypto market.

According to data from CoinGecko, Velvet (VELVET) price surged more than 125% on June 12, reaching an intraday high of $1.83 and bringing its weekly advance to over 1,400%. The rally has pushed the token’s market capitalization to roughly $745 million even as the protocol holds less than $1 million in total value locked, a gap that points to speculation rather than underlying usage.

Behind the surge is growing interest in Velvet’s newly launched trading markets. In a June 11 X post, Velvet promoted synthetic exposure to SpaceX through its SPCX market, telling users they could trade the company before its expected stock market debut.

The platform also offers leveraged exposure to private companies including OpenAI and Anthropic, tapping into a theme that has attracted significant attention from both crypto traders and traditional market investors.

Markets have fueled speculative demand

Interest in the project accelerated after Velvet announced an integration with Trade.xyz on June 3. According to the company, the partnership allows users to access crypto, stocks, commodities, research tools, and trade execution through a single platform rather than separate applications.

The announcement coincided with VELVET’s breakout above a long-standing resistance zone near $0.20 and $0.22. Since then, traders have increasingly treated the token as a proxy bet on demand for tokenized market access and investing opportunities.

Velvet futures data points to leverage playing a major role in the rally. Open interest reportedly surged to nearly $94 million within days as speculative activity intensified. At the same time, trading volumes exceeded $108 million, while a wave of short liquidations added further buying pressure.

A liquidity squeeze was also seen developing across spot markets. With a relatively small circulating supply available on exchanges, aggressive buying activity collided with thin order books, helping propel the token higher as momentum traders entered the market.

Technical indicators keep the $2 target in focus

Velvet price action on the four-hour chart shows VELVET entering an overshoot zone after breaking above the Murrey Math 8/8 resistance level near $1.56.

The token recently reached the +1/8 overshoot level around $1.76 before pulling back slightly. Based on the same framework, the next major resistance sits near the +2/8 extreme overshoot level at $1.95, placing the psychological $2 mark within reach if buying pressure continues.

Momentum indicators remain supportive despite increasingly stretched conditions. The four-hour MACD remains in bullish territory, with the MACD line holding above the signal line and positive histogram readings indicating buyers still control the trend.

On the downside, the first key support sits near $1.56, while a deeper correction could expose the 7/8 Murrey Math support around $1.37.

What is Velvet?

Velvet is a decentralized trading and asset management platform focused on bringing multiple financial markets into a single on-chain environment.

The project allows users to access cryptocurrency markets, tokenized assets, yield products, and leveraged perpetual contracts through one ecosystem. More recently, Velvet expanded into synthetic markets, enabling traders to gain exposure to private companies such as SpaceX, OpenAI, and Anthropic before traditional public listings.

According to the project, its integration with Trade.xyz connects research, execution, and market access tools across multiple asset classes. The VELVET token serves as the native asset of the ecosystem and has become a focal point for traders following the launch of the platform’s new trading products.

Whether the rally can extend toward $2 may depend less on protocol fundamentals and more on continued demand for SpaceX-related speculation.

With the company’s public debut dominating investor attention and synthetic markets attracting fresh trading activity, VELVET remains one of the market’s most closely watched momentum plays.