The Algorand price has been in a tight range in the past three months. In this period, ALGO has remained between $1.575 and $2.540. Its market cap has held steady at about $12 billion, making it the 19th biggest cryptocurrency in the world.
ALGO review
Algorand is a smart contract platform built using a proof-of-stake (PoS) technology. It is an Ethereum-killer that helps developers build decentralized applications (DAPPs) and other decentralized autonomous organizations (DAOs).
Like Avalanche, Algorand is beloved for its speed, which is usually better than that of first-generation networks like Ethereum. Today, most of the projects built in Algorand are in the decentralized finance (DeFi) industry. Developers have also used its technology to build some stablecoins.
A closer look at its explorer shows that Algorand’s network is doing relatively well. The number of addresses has increased to more than 16.4 million.
Similarly, the total Algorand Standard Assets (ASAS) has jumped to more than 4.7 million. Still, the number of transactions in the network has dropped substantially in the past few weeks.
While Algorand is primarily a finance blockchain project, it is also being widely used in other industries. For example, as we wrote on Thursday, PlanetWatch is using the network in clean air monitoring. The ecosystem has already received funding from Borderless Capital.
Algorand is also used in the NFT industry. For example, the Drone Racing League (DRL) is using the network to launch its NFT marketplace. It is also being used in building metaverse projects.
Therefore, with the decentralized industry growing, there is a likelihood that the Algorand ecosystem will continue to expand.
Algorand price prediction
The daily chart shows that the Algorand price has had a relatively strong year as its price has jumped by more than 640% this year. The coin has found some resistance in the past few months.
However, a close look at the chart shows that this price action happened after the coin completed its cup section that is shown in green.
Therefore, this consolidation can be viewed as being the handle section of the pattern. In price action analysis, the cup and handle pattern is usually a bullish sign.
As such, there is a high likelihood that the ALGO price will soon bounce back higher. This view will be confirmed when it moves above the key resistance at $2.50.
