Connect with us

Altcoins

Is there more to Algorand’s [ALGO] recent efforts to get investors back

Published

on

Source: Pixabay

Dominating investor interest has been a significant roadblock for many cryptocurrencies. One reason is the crypto-market’s inability to activate revival mode. For Algorand [ALGO], it has been a tough year. From its capitulation in May to the alt plunging further later on, ALGO has been in contention as one of the top fatalities of the market. 

However, at press time, ALGO looked to have gained good momentum. Over the last 24 hours, ALGO has risen from $0.31 to $ 0.34 — A 3.32% hike on the charts. Now, while the uptick might not seem too significant, other metrics seemed to disagree.

Algorand’s volume over the last two days has been impressive. After a dip to 57.10 million in early July, ALGO soon gained as much as 95.58 million in trading volume. The latter were the figures recorded at the time of writing. 

Source: Santiment

Does this mean investor confidence is back for the cryptocurrency?

Back and forth

On the longer timeframe, ALGO did find some resistance. Its inability to move beyond certain levels has cost it growth in the past. On 18 May, for instance, it was unable to cross the $0.50-resistance. Similarly, it had another resistance failure on 8 June as it failed to beat the $0.42-level. An uptick on 26 June also failed to materialize beyond $0.35.

Source: TradingView

Nevertheless, ALGO’s indicators were positive at press time. The Relative Strength Index (RSI) had a reading of 63.27. In fact, the RSI has been heading north since 13 July – A sign that the hike was no fluke. 

Even so, the price rise in the short term could remain neutral. This, because the 20-period EMA (blue) and 50-period EMA (yellow) seemed to be at the same pace. In such a case, ALGO’s prevailing trend could either be bearish or bullish.

Source: TradingView

Meanwhile, ALGO’s woes might not be verifiably over soon. At the time of writing, the percentage of whales holding it with more than $5 million dropped from 43.88% to 43.69%. However, the market cap increased to $2.28 billion in the same window. Needless to say, investor trust is still shaky.

Source: Santiment

Furthermore, the positive and negative sentiments also support EMA-derived projections. While the entire blame might not be the fault of Algorand’s network, a solid move might be necessary to have investors back.

Read the best crypto stories of the day in less than 5 minutes

Subscribe to get it daily in your inbox.


Please select your Email Preferences.

Jibin is a news editor at AMBCrypto. With over three years of experience as a political writer, he primarily focuses on the political impact of crypto developments. A graduate in Law and International Relations, his writing is by and large focused on cryptocurrencies from the political and financial perspective. A Liverpool FC fan. YNWA

Click to comment

Leave a Reply

Your email address will not be published.

Disclaimer: AMBCrypto's content is meant to be informational in nature and should not be interpreted as investment advice. Trading, buying or selling cryptocurrencies should be considered a high-risk investment and every reader is advised to do their own research before making any decisions.