Flare's FLR Token Surges 51% on Flare 2.0 Upgrade Anticipation

FLR, the native token of the Flare Network, experienced a significant surge of over 51% during the day, reaching a high of $0.0167. This rally was driven by the anticipation surrounding the highly anticipated Flare 2.0 upgrade. The market capitalization of FLR spiked above $927 million as a result of this surge.

The Flare 2.0 upgrade is designed to advance the network's consensus layer by scaling it across multiple chains. A key feature of this upgrade is the introduction of "Protocol Managed Wallets," which aim to enable protocol-level asset management on blockchains without the need for conventional bridges. This upgrade opens up several proposed use cases, including the onboarding of tokens like BTC, XRP, and DOGE into decentralized finance (DeFi) without bridge risk, and enabling XRP holders to earn yield on Flare-based services. While no official launch date has been announced, the market has shown strong anticipation for this upgrade.

The rally in FLR was also accompanied by a sharp increase in social metrics. Google Trends indicated increased search interest in FLR, and data from Santiment showed an increase in weighted social sentiment, which is often a precursor to further gains. This bullish sentiment was further fueled by improved macroeconomic conditions. The U.S. administration's decision to shelve aggressive tariff policies for three months and reduce reciprocal tariffs to 10% improved investor sentiment. This positive macroeconomic environment contributed to a broader rally in the crypto market, with the overall market cap gaining 5% to $2.68 trillion. Altcoins such as Ethereum, XRP, Solana, and Dogecoin also registered gains of between 7% and 10%.

From a technical perspective, FLR broke out above the upper boundary of a downtrending parallel channel it had been trading within since December. This type of breakout typically leads to extended gains. The Moving Average Convergence Divergence (MACD) indicator showed a trend-reversal bullish crossover, and the Relative Strength Index (RSI) was above 50, reflecting building buying pressure. The next target for the bulls is the yearly high at $0.0314. A breakout above this level would bring the $0.035 resistance level into focus, which was last tested in December. However, if the price slides below the lower edge of the pattern, it could propel FLR back towards the $0.012–$0.011 support zone.