MERL Breaks $0.85 Resistance: Next Target After 18% Daily Gain

Merlin Chain’s native token, MERL, is once again drawing aggressive trader attention after posting another sharp daily advance. While the headline narrative points to a dramatic $0.85 breakout, the deeper reality is more strategically interesting. 

MERL is currently consolidating in the $0.29–$0.31 zone after a weekly surge exceeding 100%, a structure that historically precedes explosive continuation moves in Bitcoin Layer-2 assets.

What makes this rally different from a routine meme-style pump is its underlying foundation. Merlin Chain is not a narrative shell. It is a Bitcoin-native Layer 2 network built for DeFi, NFTs, and Ordinals, and capital is actively flowing into its ecosystem. 

In crypto markets, price rarely leads fundamentals for long but when fundamentals and leverage align, momentum becomes reflexive.

Trade MERL on Bitrue to access deep liquidity, professional-grade futures, and real-time Merlin Chain market data as volatility accelerates.

Key Takeaways

• MERL’s surge is being driven by Merlin Chain’s expanding Bitcoin DeFi ecosystem, not purely speculation.

• Futures open interest above $75M indicates leveraged traders are positioning for a volatility breakout.

• While $0.85 has not yet been reached, it is emerging as a magnet target if liquidity and on-chain growth continue.

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What Is Merlin Chain (MERL)?

Merlin Chain is a Bitcoin-native Layer-2 blockchain designed to extend Bitcoin’s utility beyond simple value transfer. Using ZK-rollup technology and modular execution, Merlin enables smart contracts, lending markets, NFT issuance, and Ordinals-based financial products while keeping Bitcoin as the settlement layer.

This architecture allows Merlin to capture something Ethereum rollups cannot: Bitcoin liquidity without sacrificing programmability. MERL sits at the heart of that system. It is used for staking, network security, transaction fees, liquidity incentives, and protocol governance.

As Bitcoin holders increasingly seek yield and composability without leaving the BTC ecosystem, Merlin Chain becomes a capital magnet and MERL becomes the financial flywheel that converts usage into market demand.

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MERL Price Action and the $0.85 Breakout Narrative

Despite social headlines suggesting MERL has already cleared $0.85, current spot prices remain below $0.40, with the market rotating between $0.29 and $0.38. However, markets do not move based on where price is, they move based on where liquidity believes price is going.

The $0.85 level is derived from higher-timeframe resistance and projection models tied to MERL’s prior cycle high between $1.55 and $1.78.

In previous Merlin Chain rallies, once price escaped low-volatility compression zones, it routinely produced 50% to 100% daily expansions fueled by derivatives and spot accumulation.

An 18% daily candle in this context is not the peak, it is the ignition phase.

Merlin Chain TVL Is Powering the Move

MERL’s strength is being underwritten by rising Total Value Locked (TVL) across Merlin’s DeFi ecosystem. Lending protocols, liquidity pools, and Ordinals-based yield platforms are steadily absorbing Bitcoin-denominated capital.

TVL growth matters because it creates a structural supply squeeze. As more capital is locked into Merlin applications, fewer MERL tokens remain available on the open market. This increases price sensitivity, meaning even moderate buying pressure can produce outsized moves.

When TVL and price climb together, the rally becomes self-reinforcing; higher prices attract more liquidity, which then demands more MERL for network participation.

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MERL Futures: The Hidden Accelerator

MERL’s derivatives markets are quietly doing what spot traders cannot: amplifying volatility. During recent Merlin Chain expansions, futures open interest surged between $75 million and $159 million, creating a leverage-heavy structure.

In such conditions, price movements trigger liquidation cascades. Shorts are forced to buy, longs are incentivized to add, and momentum feeds on itself. This is why MERL rallies often appear chaotic on the surface but are mathematically inevitable once leverage crosses a critical threshold.

If MERL begins breaking above $0.48 and $0.57, futures positioning alone could accelerate price toward the $0.85 gravity zone.

What Would Actually Send MERL to $0.85?

A genuine move toward $0.85 would likely require a convergence of several forces:

• A major Merlin Chain upgrade or Bitcoin DeFi integration

• Continued TVL inflows into lending, liquidity, and Ordinals protocols

• Derivatives-driven momentum, triggering short squeezes and FOMO

MERL has already proven it can print near-vertical rallies when these variables align. With Bitcoin Layer-2 adoption expanding and capital rotating out of saturated L1s, Merlin Chain sits in an unusually favorable position.

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FAQ

What is MERL?

MERL is the native token of Merlin Chain, a Bitcoin Layer-2 network that enables DeFi, NFTs, and smart contracts on Bitcoin.

Is MERL really above $0.85 right now?

No. MERL currently trades around $0.29–$0.31, but $0.85 is a projected upside target based on technical and cycle analysis.

Why did MERL jump 18% in one day?

The move was driven by rising Merlin Chain TVL, strong Bitcoin L2 demand, and growing futures market activity.

What are the key resistance levels for MERL?

Important resistance zones include $0.38, $0.48, and $0.57, with $0.85 acting as the next major upside magnet if those levels break.

Is Merlin Chain a long-term Bitcoin DeFi play?

Yes. Merlin Chain is positioned to become a core infrastructure layer for Bitcoin-based decentralized finance, making MERL a leveraged exposure to that trend.

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