This is why the price of Algorand has just risen to a multi-year high

To become a successful blockchain project, real-world adoption is really important, and one of the projects that has recently increased in adoption is Algorand (ALGO), which is a purely proof-of-stake protocol layer designed to become the preferred foundation. Global financial industry.

ALGO/USDT 1-day chart. source: Transaction view

Data from Cointelegraph Markets Pro with Transaction view It shows that since the bottom of US$0.67 on July 20, the price of ALGO has soared 268% to the daily high of US$2.47 on September 9, and its 24-hour trading volume has soared to a record US$4.83 billion.

El Salvador is built on Algorand

After El Salvador announced that it was now recognized as legal tender, Algorand’s price and trading volume suddenly soared.In addition, El Salvador has also chosen Algorand’s blockchain to help Develop your own blockchain infrastructure.

Due to the work of the Algorand network in the central bank’s digital currency, it has gradually attracted the attention of large institutions and governments. Most importantly, the project has been selected to host popular stable currencies such as U.S. dollars (USDC) And tether (USDT).

El Salvador’s choice of Algorand may be the most important vote of confidence the project has received so far, which may lead other governments and agencies to further adopt the project on a large scale to understand the progress of the project.

NFT, DeFi and governance can attract new users

The second factor driving the price increase of ALGO is the recent move taken by the Algorand Foundation to allow the community to participate more in the project and become active on the Internet.

The project is in progress emission The governance function of token holders will be launched on October 1, and will allow users to have more say in the future development of the platform.

Project developers are also developing new decentralized finance and non-fungible token applications. These applications may attract new users who want to participate in the NFT boom but are blocked by the high fees of the Ethereum network.

related: Staking will treat proof of work as breakfast-that’s why

VORTECS™ data comes from Cointelegraph Markets Pro Prior to the recent price increase, the outlook for ALGO began to be found to be bullish on September 4.

Cointelegraph’s unique VORTECS™ score is an algorithmic comparison of historical and current market conditions. These data points include a combination of market sentiment, trading volume, recent price changes, and Twitter activity.

VORTECS™ score (green) and ALGO price. source: Cointelegraph Markets Pro

As shown in the figure above, ALGO’s VORTECS™ score increased in early September and reached a high of 70 on September 4, approximately 78 hours before the price began to rise 114% in the next two days.

The views and opinions expressed here only represent the views of the author and do not necessarily reflect the views of Every investment and trading action involves risk, and you should conduct your own research when making a decision.