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BitTorrent soars 30% to new all-time high, $5B market cap: What’s behind the rally?

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BitTorrent Token (BTT), the native token of the fashionable peer-to-peer file-sharing protocol BitTorrent, has surged practically 30% in the previous 24 hours.

The rally took the valuation of BTT to over $5.2 billion, making it the Twenty fourth-most-valuable cryptocurrency by market capitalization. What’s extra spectacular, the token’s worth has elevated greater than tenfold in the previous two months. 

BTT/USDT 4-hour value chart (Binance). Supply: TradingView

Is there any catalyst behind the BTT rally?

There was no clear elementary catalyst behind the BTT rally to date. However, the token has demonstrated sturdy technical momentum because it spiked by practically 120% inside per week in mid-March.

Since then, the quantity of BTT has repeatedly elevated, inflicting it to garner extra momentum because it surged previous its all-time excessive.

A number of components may have boosted the value of BTT in the previous a number of days, nonetheless — particularly, staking on Poloniex, Tron founder Justin Solar’s high-profile purchases of NFTs and rising sentiment on social media.

On March 25, crypto change Poloniex — which, as Cointelegraph reported, was acquired by a consortium of consumers that included Solar — introduced BTT staking.

#Staking on #Poloniex offers you a simplified method to earn rewards by depositing and holding property in your account!

Earn staking rewards for:
$ATOM
$BTT
$TRX
$WIN
$TEND

Test it out https://t.co/6fmITUa6Mm

— Poloniex Trade (@Poloniex) March 25, 2021

The staking announcement from Poloniex may have added to the purchaser demand for BitTorrent Token as a result of customers can earn rewards by shopping for and staking BTT. The change mentioned:

“With Poloniex staking, clients earn rewards whereas sustaining the flexibility to commerce, deposit, and withdraw always. Together with this flexibility, clients can proceed to earn staking rewards proper up to the second they resolve to commerce their funds into a unique asset.”

Moreover, BitTorrent has been pushing the narrative of Solar shopping for high-profile NFTs as of late.

On March 29, BitTorrent tweeted:

“Justin Solar introduced the official institution of the #JUST NFT Fund and the Plan to rent a high tier artist as the chief NFT advisor of JUST #NFT Fund. Be part of us now in the marvelous journey navigated by JUST #NFT!”

Contemplating that BitTorrent Token is part of the Tron ecosystem, the constructive sentiment round NFTs and the focus of Solar on the NFT market might have had a constructive impact on the worth of BTT.

Social media sentiment spikes

Lastly, the each day sentiment rating versus the tweet quantity for BTT surged by 377% starting March 30, proper earlier than the value of BTT started to rally.

BTT each day sentiment rating vs. tweet quantity. Supply: The Tie

Thus, the new BTT all-time excessive seems to be the results of a technical breakout not solely pushed by sturdy social media momentum but additionally the rebounding value of Bitcoin (BTC) in addition to altcoins throughout the board. 

As Cointelegraph reported, Bitcoin’s market dominance has dropped under 60%, whereas the complete market capitalization of altcoins reached a new all-time excessive of $855 billion on March 31. 

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