- Loom Network was one of the top-performing cryptocurrencies this week.
- The token surged after being listed by Gate.io, one of the top exchanges in the industry.
Loom Network (LOOM) was one of the best-performing altcoins this week as demand for the token soared. The token jumped to a high of $0.1677, the highest level since September last year. At its peak this week, LOOM was up by more than 350% from the lowest level this month.
Exchange listings boost Loom
Loom Network is a blockchain network that provides developers with the scalability and usability they need to build quality dApps. It has significantly higher speeds than existing platforms like Ethereum and BNB Chain. Most importantly, users in its ecosystem pay lower transaction fees. It also integrates seamlessly to Bitcoin, Ethereum, BNB Chain, and Tron.
Loom Network is powered by the $LOOM token, which is a proof-of-stake cryptocurrency. Holders make money by both price action and through staking. Loom Network’s developers pay a flat monthly fee to the network.
The main reason why the LOOM token jumped sharply was the listing by Gate,io, one of the biggest crypto exchanges in the world. In most periods, cryptocurrencies jump when they are listed by leading exchanges like Binance and Gate.
This exchange listing also came at an important week for cryptocurrencies as Bitcoin roared back above $27,000. As a result, most altcoins, including Compound, Injective, and Tron, continued their remarkable rally.
It is unclear whether the Loom Network price rally will continue in the near term. Historically, rallies related to exchange listings tend to be a bit short-lived.
Loom Network price forecast
The daily chart shows that the LOOM crypto price made a strong comeback this week as it peaked at $0.1677. As it jumped, the token moved above the important resistance level at $0.077, the highest level on July 14th. The Relative Strength Index has moved above the overbought level while the price did a golden cross.
A golden cross happens when the 200-day and 50-day moving averages make a crossover. At this point, it seems like this crossover was validated. Therefore, I suspect that the Loom token will retreat as investors start taking profits. If this happens, the next level to watch will be at $0.10.
