Although large cryptocurrency, like Ethereum and Bitcoin, are trading in the red the Algorand market continues to make profits. The cryptocurrency was one of the top-performing in the sector for the last 24 hours.
Algorand trades at $0.36, with 14% profit, 21$ profit, and respectively, 7 and 24 hour profit, as of the writing. The cryptocurrency’s performance over this period has only been surpassed by XRP with a 28% profit and Chiliz (CHZ) with a 29% profit.
Algorand Price Responds to Ecosystem Developments
DeFi Llama data indicates that Algorand’s price rally in a short period of time is supported by an increase in ecosystem activity and network activity. Over the past week, Algorand’s total value locked (TVL) has followed the price with a 13% spike or $250 million onboarding the network.
Algorand’s TVL growth has surpassed Binance Smart Chain, Stellar network, Arbitrum, Avalanche, and others. This is likely due to an increase in Algorand development activity.
Santiment also revealed that Algorand was the fourth most active blockchain on a weekly basis. Algorand was surpassed by Polkadot (ETH), and Solana. The ecosystem has been used for over 70 projects.
It also coincides with several partnerships and announcements for projects in the ecosystem. It seems that the Federation International Football Association’s cooperation to host an NFT token and marketplace is most significant.
FIFA will host the next FIFA World Cup celebrations with top football players around the world. Millions of football fans worldwide are attracted to this event. The Algorand-based project called FIFA Plus Collect will provide people with a unique experience by allowing them to “own the greatest moments in football history”.
FIFA+ Marketplace available now Build your collection now and become part of the most rich and authentic football heritage of all time. FIFA+ Collect is available. https://t.co/gRoXHzhVHJ #fifa #fifaplus #fifapluscollect #algorand pic.twitter.com/SWJzDCjbve
— FIFAPlusCollect (@FIFAPlusCollect) September 22, 2022
Are ALGO’s gains sustainable?
Algorand seems to have positive reactions to the upgrade to its mainnet network. The update was made with AVM 7. It is expected to add quantum security to blockchain and improve smart contract functionality.
Market participants seemed to be interested in this announcement. The Algorand price’s performance seems to be a translation of the upgrade and network activity.
At the time of writing, Algorand’s price is coming into heavy resistance at its current levels. The cryptocurrency must rise above three crucial levels in order to maintain its bullish momentum: $0.36 and $0.43.
The current state of the crypto market might cap ALGO’s price upward trajectory. Algorand may gain sufficient momentum to overcome resistance if Bitcoin/Ethernet can rebound higher. However, the market is responding to macroeconomic pressure.