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Technical Analysis of ALGO Cryptocurrency to Determine its Success

Christian Klausen

ByChristian Klausen

Mar 16, 2021

Bitcoin is not the first cryptocurrency to hit the markets. Several other projects have been launched before and after BTC. One noteworthy crypto project is Algorand- the brainchild of MIT professor and Turning Award winner Silvoli Micali. The Algorand project uses a proof-of-stake (PoS) blockchain protocol that is scalable and secure. The native currency of Algorand, ALGO, is preparing to ride an upward bull trend with a current evaluation of $1.933. 

Since the time of its launch in June 2019, Algorand has been upgraded to Algorand 2.0 later in the same year. In terms of BTC, ALGO is valued at 1800 satoshis at the latest. Satoshi is the smallest measuring unit for BTC. One satoshi equals 0.000000001 BTC. ALGO has managed to catch the eye of financial analysts due to its better trading features like fast speed, scalability, security, transparency, and absence of forking. 

For a long time, ALGO was stuck at a mid-term resistance area. However, the latest developments show that it is going to break out soon and move into a long-term support area. The upsurging cryptocurrency is showing high resistance at $1.90, which is expected to increase further. The Relative Strength Index (RSI) For ALGO points to the preceding wave of a hidden bullish divergent price momentum. As of now, RSI has crossed over 50. At the moment, this crypto token is riding its 4th bull wave.

On the other hand, the moving average convergence divergence (MACD) is also moving upwards. This indicator points out the relationship between two moving averages for ALGO. MACD has given a bullish reversal signal which gestures towards a bullish trend. Unlike conventional cryptocurrencies, ALGO does not fork. The Stochastic oscillator chart for this token indicates a steady upwards climb and has made a bullish cross.

The Next Bullish Wave for ALGO

At the time of Algorand’s launch, a total of 20B ALGO tokens were added to the network. The creator of the cryptocurrency claims that any user could cross-check the public blockchain to check the aggregate use of ALGO. ALGO is a unique token that can be used for instant transactions without having to wait for hours or days. Another winning quality of ALGO is that it can be divided into very small amounts like 0.0001 ALGO; this makes the currency ideal for retail payment platforms. 

Since ALGO is a public limited company, the price of the currency is not controlled by Algorand and depends on the market sentiments and external conditions. It seems that ALGO entered a new bullish impulse in March 2020. After already crossing four bull waves, the fifth wave is expected to hit soon, placing ALGO in the price range of $2.45-$2.52. 

 

Christian Klausen

Christian Klausen

Christian Klausen is a talented news writer renowned for his compelling storytelling and comprehensive research. With a sharp eye for detail, his articles offer readers a thought-provoking and well-informed perspective on a wide range of current topics.

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