A key challenge facing most blockchains is how to spark investor interest in the network’s native coins or tokens. algorithm [ALGO]a proof-of-stake blockchain cryptocurrency protocol, is struggling to keep investors interested in its original coin – ALGO.
2022 was marked by a series of attempts by the Algorand Network to rescue its ailing currency. These efforts have usually taken the form of strategic and technical partnerships with other business entities, organizations and states.
In light of prevailing market conditions, movements on the price charts revealed that ALGO is poised for another bearish run.
Only in the last 169 days…
ALGO exchanged hands at $0.2905, at time of going to press. After an index price of $1.66 at the start of the year, this coin is down 80%. In the past six months, the Algorand Network has signed partnership agreements with FIFA, Keon Foundation, the Nigerian government, Developing Africa Group and Koibanx. However, no much-needed relief for ALGO just yet.
ALGO started the year with a market cap of $10.57 billion. At the time of publication, the cryptocurrency was pegged at $1.98 billion and registered an 81% drop in the charts.
Significant coin accumulation fueled a spike in the Relative Strength Index (RSI) between March 22 and April 4. However, a retracement, triggered by a general bearish run that ravaged the month of April, quickly followed. As a result, the RSI was pushed below 50.
It attempted a crossover toward the beginning of May. However, since May 8, the indicator has been below the neutral line. At press time, it marked a spot at 33.
Ready for a bearish run, the MACD indicated that the altcoin may be poised for another round of price decline.
On-chain analysis says…
With a number of technical partnerships announced over the past six months, development activity on the network has steadily increased. Although there was a dip in April, it has since risen and was signaled at 112 at the time of writing.
tIn this year, a growth of 39% in development activity has been registered.
This year’s highest numbers on the front were 2.17% – Recorded May 3rd. Since then, it has steadily declined.
At 0.49% at the time of going to press, a drop of 77% had been registered in just over a month. On May 3, the social volume also peaked at 1674. It fell further by 79% by the time it went to print.
This post Algorand’s multiple partnerships are a blessing, but does ALGO feel the same?
was published first on https://ambcrypto.com/algorands-multiple-partnerships-are-a-boon-but-does-algo-feel-the-same-way/