Cryptocurrencies are still muted ahead of tomorrow's Fed decision. Bitcoin is consolidating around $19,300, Ethereum is holding around $1,350 per token. However, the price of the Algorand cryptocurrency, which is one of the sponsors of the upcoming mudnial, has risen during the recent weak days for cryptocurrency valuations:
- Algorand is a cryptocurrency that has become the beneficiary of part of the $600 million in funding created by Temasek and BlackRock funds. It is also a partner of fintech company Circle, which creates the dollar-covered stablecoin USDC. Circle has also been backed by BlackRock on several occasions.
- Algorand was also among a small group of cryptocurrencies that are part of a digital asset fund, the construction of which was also initiated by BlackRock itself. All this, along with BlackRock's latest partnerships Coinbase and Kraken, creates a network of cryptocurrency links with the world's largest investment fund, and Algorand is part of that network;
- Algorand boasts contributions to decarbonization and grants to support tree planting so it can count on positive sentiment from ESG implementing institutions;
- Last week, the network underwent an upgrade that makes it capable of processing 6,000 transactions per second at fees of 1/100th of the value of the cryptocurrency (about $0.033USD);
- The cryptocurrency is one of the main sponsors of the football World Cup in Qatar, in connection with which it has created a unique NFT collection. The collection is gaining popularity for the most popular sports game for gamers, FIFA 23. On the wave of NFT's popularity, the price of Algorand itself has also increased;
- Algorand is one of the few cryptocurrencies fully compatible with the new ISO20022 interbank settlement standard. Other projects include IOTA, Ripple and Stellar, among others. Banks have until the end of November to test solutions in connection with the new ISO, which could result in the growing popularity of these tokens. ISO20022 is expected to be fully implemented by 2025, originally set for 2022 while the pandemic has prolonged the transition process;
- Algorand's primary goal is to ensure the integration of financial assets into the blockchain industry and tokenization, which if actually implemented (migration of thousands of projects and companies into the blockchain industry) has been described by Blockworks analysts as an $18 trillion market. The project is currently working with more than 500 institutions from around the world;
- Staci Warden, who gained experience at the US Treasury Department, and NASDAQ, among others, became the new CEO of the Algorand Foundation. She was also a director at JP Morgan for eight years;
- Algorand has in the past reported 'intellectual collaborations' with the Massachusetts Instutite of Technology and UC Berkeley. Based on the above, one can conclude that Wall Street may look favorably on the project.
Algorand chart, H4 interval. The price has risen by almost 30% over several days and has pierced the 200-session average running at $0.30. For several days, Algorand has remained above the SMA200, which still sets the main trend. However, the RSI indicates levels close to overbought, which in the past has heralded an impending correction. Source: xStation5
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