Plasma [XPL] surges 21% after DeFi tie-ins, but THIS could stall the run!

Key TakeawaysWhat drove Plasma’s recent rebound?Integrations with $Aave, Ethena, and $Pendle boosted the altcoin’s confidence.What’s next for $XPL’s price action?A close above $0.50 could open a path to $0.80, but weak liquidity may trigger pullbacks.Plasma [$XPL] has caught the attention of many since its launch on 25 September.In fact, the platform’s native token has been driven by the integration of DeFi protocols like $Aave [$AAVE], Ethena [$ENA], and $Pendle [$PENDLE] as it supports zero-fee USDT transfers.After debuting at $1.68, $XPL crashed below $0.30. However, it rebounded recently with a 21% daily surge. Total users and deposits hit new highs too, hinting at renewed interest.Is a bullish reversal in play?Plasma bottomed at $0.25 after the broader market crash, then consolidated between $0.35 and $0.50. The altcoin, at press time, was trading near the upper limit of that range.The MACD turned positive, signaling a momentum shift towards buyers. The Trend Strength Index (TSI) hovered near 1.0, reflecting a strong bullish bias. Meanwhile, the Chaikin Money Flow (CMF) at 0.17 confirmed rising capital inflows.Together, these indicators pointed to a possible breakout above $0.50.If sustained, $XPL could target $0.80 next. A failed breakout, however, risks revisiting the $0.35 support zone.XPL longs remain dominant!Long positions appeared to be key in this 21% surge. The Long/Short Ratio flipped back above 1, indicating buyer interest in the token in the last 12 hours.With that in mind, what have been their areas of interest?The Liquidation Heatmap highlighted dense long clusters below $0.42, while most profit-taking appeared between $0.45 and $0.50. No major liquidation layers formed above $0.50 – A sign that traders had not yet set new targets.Still, low liquidity above $0.50 could trigger sharp retracements if the momentum stalls.Not only did buying and technical breakouts contribute to the surge, but on-chain activity also played a significant role.Users surge as deposits near $1BThe integration of well-established protocols saw users spike on a monthly scale, as well as deposits. Plasma’s Total Deposits reached $929.44 million, nearing the $1 billion milestone.Both Plasma’s Monthly Active Users and Ecosystem Active Addresses peaked at 2 million and 9.5k, respectively. However, since this week’s drop, the daily and weekly scales have dipped to 78.8k and 751.2k, respectively.Sustained growth in users and deposits could keep sentiment strong. However, broader market alignment remains key for $XPL to extend its rally towards $0.80 or beyond.