• Algorand (ALGO) had a largely stagnant week, trading at $0.2688 at press time. ALGO rallied by 6% to a two-month high, potentially increasing by another 25%.
• Algorand is intended to be an effective proof-of-stake blockchain, with emphasis on DeFi (decentralized finance) applications and initiatives for both institutional and retail clients.
• The World Cup sponsorship and the network upgrade are contributing factors to the coin’s recent strong performance; however, market sentiment has weakened these effects.
Overview of Algorand
Algorand (ALGO) is a scalable blockchain token that seeks to be an effective proof-of-stake blockchain. It focuses primarily on DeFi (decentralized finance) applications, as well as initiatives for both institutional and retail clients. At press time, it was trading at $0.2688 after rallying 6% to a two-month high, with potential for further growth of up to 25%.
The narrative surrounding the blockchain appears to be changing for the better based on increasing Algorand’s DeFi TVL (total value locked) during the past week. Projects supported by the Algorand blockchain include decentralized lending, trade and stablecoins amongst other cryptocurrencies. Additionally, the open source ecosystem of Alogrand’s decentralized governance and sound monetary supply economics seek to realize its worldwide potential in terms of influencing society and changing the world as a whole.
World Cup Contribution
The anticipation of FIFA World Cup starting November 20th has been a major factor in coin’s recent strong performance due to Algorand being one of its main sponsors. This excitement has helped ALGO’s pricing along with a network upgrade which increased speed among many other features.
Adverse Market Sentiment
Despite all positive developments mentioned above, adverse market sentiment has weakened their effects leading to waning increases in coin values recently..
In conclusion, although there have been some positive developments such as World Cup sponsorship and network upgrades leading to improved speeds amongst other features; ultimately it appears that market sentiment is having an overall weakening effect on price increases seen so far in ALGO tokens..