Alchemy Pay token formed a “God candle” on Oct. 28, after the developers announced plans to launch the Alchemy Chain.

Alchemy’s (ACH) token rose to a high of $0.020, its highest level since Oct. 25, and 20% above last week’s low.

In a blog post, the developers noted that Alchemy Chain will be built on the Solana Virtual Machine architecture to support the growing needs of its payment platform.

The new chain aims to allow Alchemy to process transactions faster, at a lower cost, and in a highly secure environment. Its security will be based on the Trusted Proof-of-Authority mechanism, which helps ensure the integrity and speed of validating nodes.

Unveiling launch plan for #AlchemyChain, an ultra scalable Layer-1 blockchain designed to unite fiat and crypto in a frictionless payment system.

⚡High-scalability adopts SVM
🔒Innovative Trusted PoA security
💸 $ACH & fiat supported for gas fees
⛓On-chain earnings to fiat… pic.twitter.com/sCgdIhAelG

— Alchemy Pay|$ACH: Fiat-Crypto Payment Gateway (@AlchemyPay) October 28, 2024

In addition, Alchemy Chain will feature a meme launchpad to help developers build and launch their meme coins, and its Meme Telegram Bot will assist creators in navigating the ecosystem.

By launching a meme launchpad, Alchemy Pay aims to enter one of the leading segments of the crypto industry. Pump.fun, the first meme coin generator on Solana (SOL) made it easier for people to launch their coins. Data shows that those Pump.fun tokens are now valued at over $2.1 billion. 

Similarly, the market cap of Tron’s (TRX) meme coin generator, SunPump, has risen to over $276 million. 

Alchemy Pay joins other players in the crypto industry with plans for an independent chain. Coinbase launched Base, a layer-2 network, in 2023, which has since become a dominant player in the sector. More recently, Uniswap (UNI), the largest decentralized exchange, announced plans for UniChain, a layer-2 network aimed at streamlining its offerings. dYdX also launched its own chain in 2023.

Alchemy Pay becomes the newest player in the crypto industry to announce plans for its independent chain. Coinbase launched Base, a layer-2 network in 2023, a project that has now become a dominant player in the sector. 

ACH token formed a God candle

The daily chart shows that the Alchemy Pay token formed a “God candle,” or a sudden large bullish movement, as investors reacted positively to the upcoming Alchemy Chain project.

The token has risen above the important resistance point at $0.01795, its lowest point on Oct. 10 and Oct. 3. It has also moved above the 50-day moving average and the 38.2% Fibonacci Retracement level.

The token may see a pullback in the coming days as momentum from the Alchemy Chain announcement fades. If this happens, the token may retest the key support at $0.01900. A move above the resistance at $0.02 could signal further gains.