The Gnosis price jumped by more than 10% on Thursday, becoming one of the best-performing cryptocurrencies. GNO, its native token, is trading at $532, which is about 51% above the lowest level in December. Its total market capitalization has risen to more than $1 billion, making it the 115th biggest cryptocurrency in the world.
What is Gnosis?
The smart contract industry has seen robust growth in the past few years. Most of this growth has been because of Ethereum, the biggest smart contract platform in the world.
While Ethereum is a good platform, it has some challenges. For example, as a second-generation platform, Ethereum is known for its slow speed and expensive transaction rates. While transactions in many platforms are completed within a few seconds, it can take more than 5 minutes in Ethereum.
Gnosis is a blockchain platform that helps developers build decentralized applications such as those in the DeFi industry. It is an Ethereum-killer that prides itself for having faster speeds and lower cost. It also claims that its platform is easier to build upon than Ethereum.
The Gnosis ecosystem has three key product lines that allow people to create, trade, and hold crypto assets. Its key product is the Gnosis Protocol, which enables ring trades to maximize liquidity.
Gnosis was launched in 2017 and has seen some adoption. It remains being a very small platform. According to DeFi Pulse, apps in the network have a total value locked of about $25 million. Worse, the TVL has been in a steady downward trend after it rose to an all-time high of about $43 billion in November.
While the Gnosis price has rallied today, the main concerns are that it faces stiff competition from other Ethereum-killers like Solana and Avalanche. The Gnosis protocol also faces competition from the likes of Uniswap and SushiSwap.
Gnosis price prediction
The four-hour chart shows that the GNO price has been in a steady upward trend in the past few weeks. It has managed to move from this month’s low of $350 to the current $530. The price also managed to cross the key resistance level at $508, which was the highest level on November 30th.
Also, it has risen above the 25-day and 50-day moving averages while the Relative Strength Index (RSI) has jumped to the overbought level of 70. Therefore, the Gnosis price will likely do a break and retest pattern before continuing its bullish trend. This retest could see it move to about $500.
If you want to trade cryptocurrencies, you might be interested in automated cryptocurrency trading robots such as Bitcoin Prime, Bitcoin Era and Bitcoin Code.
