Why did the price of STX go up?

Stacks (STX) increased by 0.87% in the last 24 hours, lagging behind the overall crypto market, which gained 4.24% over the past week. Over the last 30 days, STX has dropped nearly 24%. The main factors influencing this are:

1. Ecosystem Growth – New partnership with Pakistan announced on October 9
2. Technical Signals – Positive MACD crossover indicating potential price movement
3. sBTC Expansion – Growth of Bitcoin-pegged asset across multiple blockchains via Wormhole

Deep Dive

1. Partnership with Pakistan (Positive Outlook)

Overview: On October 9, Stacks revealed a partnership with the Pakistani government to build blockchain infrastructure focused on remittances, digital identity, and regulated stablecoins. This includes training programs for developers and a hackathon planned for 2026 (Daily Hodl).

Why it matters: This collaboration suggests growing institutional interest in Stacks’ Bitcoin-based decentralized finance (DeFi) tools. Pakistan’s large remittance market—valued at $24 billion annually—and its population of 220 million could provide a strong foundation for STX to become a key player in Bitcoin-powered financial services.

What to watch: Updates on the 2026 hackathon and progress toward regulatory approval for stablecoins in Pakistan.

2. Technical Signals Show Mixed Results

Overview: The MACD indicator for STX recently turned positive for the first time since late September, and the RSI moved out of oversold levels. The price has moved above the 7-day simple moving average (SMA) of $0.4329 but remains below the 30-day SMA at $0.5185.

What this means: Traders might see this as a chance to buy on a dip, but the 200-day exponential moving average (EMA) at $0.7626 remains a strong resistance level. Trading volume is still 62% lower than its peak in July 2025, indicating limited buying momentum.

3. sBTC Cross-Chain Growth (Positive Impact)

Overview: On July 1, Stacks expanded its Bitcoin-pegged asset, sBTC, to the Sui blockchain and others using Wormhole’s Native Token Transfer standard, enhancing liquidity options (Binance Square).

Why it matters: This cross-chain capability makes sBTC more useful in decentralized finance strategies that span multiple blockchains. It offers Bitcoin holders a way to earn returns without selling their BTC. The circulating supply of sBTC has grown 400% year-to-date, reaching the equivalent of 5,000 BTC as of May 2025.

Conclusion

The slight rebound in STX reflects positive sentiment around the Pakistan partnership and the expanding use of sBTC. However, overall market caution (Fear & Greed Index at 34) and significant technical resistance levels may limit further gains. Key point to watch: Will STX stay above the 7-day SMA of $0.4329 through October 26?

{{technical_analysis_coin_candle_chart}}

What could affect the price of STX?

Stacks is advancing Bitcoin DeFi despite market uncertainty.

1. sBTC Adoption – Growing Bitcoin use in DeFi could increase demand for STX (Mixed Impact)
2. Ecosystem Funding – SIP-031 proposal may cause inflation but supports development (Mixed Impact)
3. Regulatory Moves – Partnership with Pakistan shows rising institutional interest (Bullish Impact)

Deep Dive

1. sBTC Expansion & Bitcoin DeFi (Mixed Impact)

Overview:
Stacks’ sBTC is a decentralized version of Bitcoin that lets users access DeFi services like lending and swapping. It currently holds over 5,000 BTC (Stacks) and aims to scale to millions by allowing users to mint sBTC themselves or through institutional custody.

What this means:
More sBTC use could increase demand for STX, which is needed to pay transaction fees and earn rewards through Stacking. However, other Bitcoin Layer 2 solutions like Babylon and Bitlayer compete with Stacks, which might reduce its early advantage.

2. SIP-031 & Tokenomics Debate (Mixed Impact)

Overview:
SIP-031 is a proposal to create a $30 million+ fund for the Stacks ecosystem by increasing the annual supply of STX tokens from 3.52% to about 5.75% for five years (CoinMarketCap).

What this means:
This funding could boost developer incentives and DeFi growth on Stacks. But the increased token supply (about 157 million new STX by 2050) might lead to selling pressure if demand doesn’t keep up. Past debates, like the SIP-019 miner reward increase, show the community is cautious about inflation.

3. Regulatory Partnerships & Institutional Onboarding (Bullish Impact)

Overview:
Stacks is partnering with Pakistan to build a blockchain innovation hub (Daily Hodl) and working with custodians like Hex Trust, signaling growing interest from institutions.

What this means:
Clearer regulations in emerging markets and compliant access to sBTC could bring inactive Bitcoin into the Stacks ecosystem, increasing STX’s usefulness and potentially its price.

Conclusion

Stacks’ future depends on growing sBTC adoption while managing inflation risks, with regulatory support providing potential upside. Technical indicators show the token may be oversold (RSI 40), but Bitcoin’s strong market position (59%) and overall crypto market fear (index 34) create challenges. Will Stacks keep developer momentum while addressing token supply concerns? Watch sBTC Bitcoin inflows and SIP-031 voting results for clues.

{{technical_analysis_coin_candle_chart}}

What are people saying about STX?

There’s a lot of buzz around Stacks (STX), especially about earning Bitcoin yields and some recent network issues. Here’s the quick rundown:

1. Stacking STX to earn Bitcoin – A 9.94% annual yield is catching attention
2. sBTC integration – Trustless Bitcoin DeFi is gaining momentum
3. Exchange suspensions – Trading pauses on Upbit and Bithumb are causing price swings

Deep Dive

1. @Stacks: Earn Bitcoin by stacking STX

"Stacking STX to earn BTC yielded 9.94% APY over last 20 cycles"
– @Stacks (1.2M followers · 28K impressions · 2025-07-17 21:00 UTC)
View original post
What this means: This is positive news for STX because it offers a way to earn Bitcoin passively. People who want to grow their Bitcoin holdings without selling STX are likely to be interested.

2. @StacksOrg: sBTC and DeFi progress

"Dexscreener supports SIP-010 tokens; Stacking DAO hits 100M STX TVL"
– @StacksOrg (950K followers · 15K impressions · 2025-10-09 18:30 UTC)
View original post
What this means: The Stacks ecosystem is growing, with more tools supporting sBTC (a Bitcoin-backed token) and a large amount of STX locked in decentralized finance (DeFi) projects. This growth is encouraging but adoption speed will be key to watch.

3. CoinJournal: Exchange suspensions impact STX

"STX dropped 11.4% weekly after Bithumb halted deposits for network upgrades"
– CoinJournal (2025-07-25 12:58 UTC)
View article
What this means: In the short term, the pause in deposits on exchanges like Bithumb has caused STX’s price to drop due to less trading activity and caution among traders. However, these upgrades could strengthen the network over time.

Conclusion

Opinions on STX are mixed right now. The integration with Bitcoin DeFi and the ability to earn Bitcoin through stacking are positive signs. On the other hand, technical issues and exchange suspensions are causing some short-term setbacks. Keep an eye on sBTC’s growth across different blockchains (now possible through Wormhole) and how quickly network upgrades are completed. If the stacking yield stays above 8% and Bitcoin remains dominant, STX could attract more investors again.

What is the latest news about STX?

Stacks is gaining momentum with ecosystem growth, key partnerships, and expanding Bitcoin DeFi activity. Here are the latest updates:

1. Pakistan Blockchain Hub (October 8, 2025) – Stacks teams up with Pakistan to promote blockchain education and practical applications.
2. Developer Growth Leader (October 16, 2025) – Stacks ranks 3rd in developer growth, behind Ethereum and Solana.
3. sBTC Cross-Chain Surge (October 7, 2025) – Integration with Wormhole boosts STX’s rally during altcoin season.

Deep Dive

1. Pakistan Blockchain Hub (October 8, 2025)

Overview:
Stacks announced a partnership with the Pakistani government to create a blockchain innovation hub. This initiative focuses on education, building stablecoin infrastructure, and improving remittance services. Programs include developer training with Lahore University and a hackathon planned for 2026. This aligns with Pakistan’s efforts to create crypto-friendly regulations and aims to establish the country as a leader in crypto adoption.

What this means:
This is positive news for STX as it expands real-world use in a large market—Pakistan is the 6th most populous country globally. Working with regulators could speed up the adoption of Stacks’ Bitcoin-based DeFi tools, especially for remittances, which reached $28 billion in Pakistan in 2024 (The Daily Hodl).

2. Developer Growth Leader (October 16, 2025)

Overview:
According to Electric Capital’s 2025 developer report, Stacks added 3,246 new developers year-to-date, ranking third after Ethereum (31,869) and Solana (11,534). This growth is driven by the Nakamoto upgrade and the launch of sBTC in December 2024.

What this means:
Strong developer activity is a good sign for the long-term health of the Stacks ecosystem. Stacks now leads all Bitcoin Layer 2 projects in developer count, which is important as competition grows from projects like Arch and Liquidium (Crypto Times).

3. sBTC Cross-Chain Surge (October 7, 2025)

Overview:
STX’s price jumped 6.5% on October 7 after sBTC expanded to the Sui and Solana blockchains through Wormhole’s bridge. Technical analysis showed STX breaking above the $0.63 resistance level, with trading volume exceeding $100 million.

What this means:
sBTC’s ability to operate across multiple blockchains (now holding over 5,000 BTC) strengthens Stacks’ position in Bitcoin DeFi. The Wormhole integration could bring more liquidity from chains like Solana, where Bitcoin DeFi TVL is over $1.2 billion (CryptoNews).

Conclusion

Stacks is making progress in three key areas: international partnerships, developer growth, and Bitcoin DeFi cross-chain functionality. With sBTC adoption growing and ongoing regulatory collaboration in Pakistan, STX’s role as a foundational Bitcoin Layer 2 solution looks solid. The big question: will sBTC’s cross-chain Bitcoin inflows surpass competitors like Merlin Chain in Q4?

What is expected in the development of STX?

Stacks’ roadmap is focused on making Bitcoin DeFi more accessible and growing its ecosystem. Key upcoming milestones include:

1. Pakistan Blockchain Hub (Early 2026) – A partnership to promote blockchain education and real-world projects.
2. WalletConnect & Ledger Live Integration (Q4 2025) – Expanding wallet support to over 45 million users.
3. Tier-1 Stablecoin Integration (Q4 2025) – Adding USDT and USDC to increase liquidity.
4. Clarity WASM Upgrade (2026) – Faster smart contracts and better tools for developers.
5. Trustless sBTC (2026) – Allowing Bitcoin withdrawals without relying on third-party custodians.

Deep Dive

1. Pakistan Blockchain Innovation Hub (Early 2026)

Overview: Stacks is teaming up with the Pakistani government to launch blockchain education programs, hackathons, and pilot projects focused on payments, remittances, and digital identity (Stacks). LUMS University will host a hackathon in early 2026 to nurture local talent.
What this means: This is a positive sign for STX adoption, as it taps into Pakistan’s large, tech-savvy population and supports government efforts to modernize financial systems.

2. WalletConnect & Ledger Live Integration (Q4 2025)

Overview: Stacks will fully integrate with WalletConnect, which supports over 600 wallets, and add native Stacking features to Ledger Live. This aims to make managing assets easier and attract Bitcoin holders (Stacks).
What this means: This could improve STX liquidity by making it simpler for everyday users to participate, though success depends on smooth implementation.

3. Tier-1 Stablecoin Integration (Q4 2025)

Overview: Stacks plans to integrate popular stablecoins USDT and USDC to boost DeFi liquidity and trading options. Custody providers like Copper already support sBTC, which helps bring in institutional investors (Coincu).
What this means: This is good news for STX’s utility, as stablecoins can increase DeFi activity. However, delays or regulatory challenges could slow progress.

4. Clarity WASM Upgrade (2026)

Overview: Stacks will upgrade its Clarity smart contracts to use WebAssembly (WASM), improving transaction speed and attracting developers familiar with Rust programming. Test networks are expected in 2026 (Stacks Forum).
What this means: This upgrade should help grow the developer community and improve performance, though there may be some short-term disruptions during the transition.

5. Trustless sBTC (2026)

Overview: Stacks aims to make sBTC withdrawals fully decentralized, allowing users to withdraw Bitcoin without relying on custodians, using Bitcoin’s own scripting capabilities (BitcoinWorld).
What this means: This could attract institutional Bitcoin capital by increasing trust and security, but the technical complexity might delay the rollout.

Conclusion

Stacks’ roadmap is centered on making Bitcoin DeFi more accessible, growing its developer base, and encouraging institutional adoption through key upgrades and partnerships. While there are risks in execution, milestones like trustless sBTC and stablecoin integration have the potential to significantly strengthen Stacks’ position in the Bitcoin ecosystem. How will Stacks balance the need for decentralization with the pressure to quickly expand its ecosystem?

What updates are there in the STX code base?

The Stacks platform is upgrading its technology to improve Bitcoin-based decentralized finance (DeFi), enable easier movement of assets across blockchains, and make development smoother for programmers. Key updates include:

1. Nakamoto Upgrade (October 2024) – Faster transactions with quicker Bitcoin confirmation.
2. sBTC Expansion (Q4 2024) – Secure, trustless transfer of Bitcoin between Bitcoin and Stacks networks.
3. Clarity 2.0 & Wasm Support (2025) – More efficient smart contracts for better app performance.
4. Cross-Chain Integration (July 2025) – Connecting sBTC and STX tokens to other blockchains like Solana via Wormhole.
5. Stacking Improvements – Easier reward systems and pool management for users.

Deep Dive

1. Nakamoto Upgrade (October 2024)

What it is: This update allows transactions on Stacks to be confirmed with full Bitcoin security in under 10 seconds, instead of waiting for Bitcoin’s slower block times.
Why it matters: Users get near-instant transaction confirmations for DeFi apps, and developers can build with predictable speeds. This makes Stacks a strong option for Bitcoin Layer 2 solutions that need fast, frequent transactions. (Source)

2. sBTC Activation (December 2024)

What it is: sBTC lets Bitcoin move securely and directly into Stacks smart contracts without needing a middleman. By mid-2025, over 5,000 BTC have been moved this way.
Why it matters: This unlocks a huge amount of Bitcoin’s value (over $1 trillion) for DeFi activities, letting users earn interest on their BTC safely. While the technology is complex and may slow adoption at first, it’s promising for long-term growth. (Source)

3. Clarity 2.0 & Wasm Compilation (2025 Roadmap)

What it is: Clarity, Stacks’ smart contract language, is being upgraded to support WebAssembly (Wasm), which improves speed and lets developers use tools from Ethereum and Solana ecosystems.
Why it matters: This makes it easier and faster to build decentralized apps (dApps), lowering the barrier for developers familiar with other blockchains to create on Stacks. (Source)

4. Cross-Chain Liquidity via Wormhole (July 2025)

What it is: sBTC and STX tokens can now be moved seamlessly to other blockchains like Solana and Sui using Wormhole’s technology.
Why it matters: This expands Bitcoin liquidity across multiple blockchain networks, increasing the usefulness of STX. While this may challenge standalone Bitcoin Layer 2 solutions, it strengthens Stacks as a key player in multi-chain DeFi. (Source)

Conclusion

Stacks is focused on making Bitcoin DeFi faster, more scalable, and easier for developers. With faster transactions from the Nakamoto upgrade and smarter contracts via Clarity 2.0, Stacks is positioning itself as the go-to smart contract platform for Bitcoin. The big question is how quickly major institutions will start using sBTC as collateral across different blockchain markets.