The price of Merlin Chain caused quite a stir among investors today. After months of relatively quiet but steady growth, the market suddenly faced extreme fluctuations, with the price both exploding and then sharply collapsing in a short period. What exactly happened behind the scenes, and why did investors react so dramatically?
Merlin Chain’s Price Action #
The price of Merlin Chain, a layer 2 solution for Bitcoin, has been rising almost noiselessly since August 2025 and certainly since June 2025 ($0.07). Since August, the price has increased by more than 150 percent. The token is also currently heavily traded in the Netherlands, where it ranks in the top 5 on Bitvavo today.
What really stands out is the huge drop that began on November 25, after which the price rebounded from about $0.21 to half a dollar. Then the price started to collapse again. What happened during that time?
The Mainchain Upgrade #
In a post on X, Merlin Chain announced that an infrastructure upgrade would come on November 26, 2025, and would last 12 hours. They also said their mainnet would go offline and all transactions would be delayed. After about 12 hours, their network would function normally again.
Investor Reaction #
Leading up to the upgrade, the price of Merlin Chain fell sharply. This indicates that many traders wanting to avoid uncertainty sold their coins, resulting in a sharp drop of about 50 percent on November 25. After completion of the upgrade, however, sentiment completely reversed and the price shot up powerfully.
When on November 26 it became clear that the token had risen by more than 50 percent and was among the biggest gainers of the day, buying pressure increased strongly. Today, the price rose within hours from $0.21 to $0.50, good for an impressive profit of about 150 percent.
But during the day, the price started to decline again. As soon as traders noticed this, another wave of selling followed, causing the price to fall below the lowest level of the past month. As a result, the price is currently even down more than 15 percent. A very different picture than at the beginning of the day. Only when the market calms down will it become clear which direction Merlin Chain will take. For now, it’s still too early to make a statement about that.