Coinspeaker Algorand (ALGO) Aims to Retest Its 5-Year ATH amid Rising On-chain Activities
The total crypto market cap has surged to the highest level of about $3.71 trillion since inception majorly fueled by the altcoin industry. The TOTAL2 market cap, which excludes Ethereum ETH $3 841 24h volatility: 7.9% Market cap: $463.26 B Vol. 24h: $47.04 B , surged to a new all-time high earlier today of above $1.1 trillion. Consequently, more investors have rushed to undervalued altcoins to maximize potential gains.
Moreover, altcoin projects that were previously considered as ‘zombie tokens’ led by Ripple Labs XRP XRP $2.53 24h volatility: 3.2% Market cap: $144.45 B Vol. 24h: $24.85 B , Litecoin LTC $129.4 24h volatility: 2.7% Market cap: $9.75 B Vol. 24h: $1.90 B , and Cardano ADA $1.20 24h volatility: 1.0% Market cap: $42.92 B Vol. 24h: $2.43 B have all registered palpable returns in the past five weeks. Additionally, Bitcoin’s market dominance has dropped by over 10% in the past three weeks from more than 61% to about 54% at the time of this report.
Algorand Token Emerges Top Contender in Ongoing Altseason
With the 2024/2025 altseason confirmed, Algorand’s native token ALGO ALGO $0.50 24h volatility: 6.2% Market cap: $4.14 B Vol. 24h: $1.40 B has emerged as a top performer in the last few weeks. According to the latest crypto oracles, ALGO’s price has surged more than 400% in the last five weeks to trade above 50 cents for the first time in more than 30 months.
As a result, the mid-cap altcoin, with a fully diluted valuation of about $4.2 billion and a daily average traded volume of more than $1.9 billion, has ended the multi-year falling trend. From a technical analysis standpoint, ALGO price has formed a weekly higher high and higher low, which is an established characteristic of a rising market trend.
Furthermore, the weekly Relative Strength Index (RSI) has surged above the 70% level for the first time since 2021, signaling the bulls are in control. However, ALGO’s journey towards its all-time high, which is 85% away, will be characterized by potential 15-30% dips, which most experts believe will present a long-term buying opportunity.
Major Factors Driving ALGO Up
The notable rebound of Algorand in the recent past is heavily bolstered by robust fundamentals. Notably, the Algorand network has grown to a vibrant Web3 ecosystem, with more than $194 million in total value locked (TVL) and over $50 million in stablecoins market cap.
Active $ALGO addresses spiked by over 300% since December 1st, signaling a significant uptick in network activity. pic.twitter.com/SgfvB3HiiZ
— IntoTheBlock (@intotheblock) December 4, 2024
According to on-chain data analytics by IntoTheBlock, the Algorand network has registered a more than 300% surge in daily active addresses to about 313,371 in the last four days. The fact that the Algorand network supports ultra-low transaction fees and instant finality, more DeFi developers are keen to tap into the blockchain.
Some of the top-tier DeFi projects on the Algorand network include Folks Finance, Algomint, Tinyman, Algorai Finance, and Vestige, among many others. In a bid to keep the customers engaged, the Algorand network intends to launch staking rewards before the end of December, with the minimum solo stake set at 30K ALGO.
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Algorand (ALGO) Aims to Retest Its 5-Year ATH amid Rising On-chain Activities
