The Velas price has surged close to its all-time high as investors cheer the recent partnership with Ferrari and SpaceChain. The VLX token is trading at $0.4500, which is about 145% above the lowest level last week. Its market capitalization has jumped to more than $1 billion, making it the 115th biggest cryptocurrency in the world.
What is Velas and why is it rising?
Velas is a relatively young blockchain network that claims to have the fastest Ethereum Virtual Machine (EVM). It is a fork of Solana’s blockchain and was launched in 2019. The platforms aims to become an alternative to other smart contract platforms like Solana, Ethereum, and Polkadot.
While Velas is little known, its transactions have been on an upward trend. Official statistics points to more than 2,500 wallet addresses while about 34% of all Velas in circulation has been staked. There are now 9 projects in the ecosystem and about 40 in the pipeline. This makes it a relatively small smart contract network.
VLX is also rising after the latest partnership with SpaceChain, a company that is developing blockchain platforms for the space industry. The statement said:
“We are excited to be part of such significant leaps in the industry. Velas is currently the third blockchain to engage in this space race. We’re delighted to work with such a unique partner as SpaceChain.”
The Velas price is also rising this week because of a non-fungible token (NFT) deal with Ferrari. The company will use Velas’ network to launch its NFTs. Velas will also become a sponsor for Ferrari’s eSports team.
Therefore, analysts believe that Velas could become the next big thing in the blockchain industry because of the new partnership. In the past, we have seen some blockchain platforms like Kadena, NEAR, and Avalanche move from nowhere to become the biggest platforms in the world.
Velas price prediction
The daily chart shows that the Velas price has been in a strong bullish trend in the past few months. The VLX price has jumped by about 2,200% from its lowest level in 2021. It has also managed to move above the 25-day and 50-day moving averages (MA). The MACD has moved above the neutral level.
Therefore, there is a likelihood that the Velas price will keep rising as bulls target the all-time high of $0.6350. This view will be invalidated if the price moves below the key support at $0.300.
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