On April 16 EOS price soared to a brand new excessive at $8.49 and the present market construction for the altcoin suggests there’s room for additional upside.
EOS initially made headlines throughout the ICO craze of 2018 when its guardian firm Block.one raised a file $4 billion in funding to create the EOSIO software program and in the previous three months, the altcoin has practically tripled in worth.
Knowledge from Cointelegraph Markets and TradingView reveals that since buying and selling at a low of $2.43 on Jan. 27, the price of EOS has climbed 245% to set a multi-year excessive of $8.47 on April 16.
EOS/USDT 4-hour chart. Supply: TradingView
Three causes for the rally in the price of EOS since late January embody the launch of the brand new EOS PowerUp mannequin, the discharge of the brand new EOSIO testnet by Block.one and the announcement of a collaboration with Google Cloud to advance the integration of distributed ledger expertise with cloud computing and storage.
Protocol enhancements energy up’ price momentum
Momentum for the EOS token started to select up in earnest in January as approached reaching consensus on integrating the brand new EOS PowerUp Mannequin which is designed to enhance useful resource allocation.
— block.one (@block_one_) February 24, 2021
The PowerUp Mannequin is the EOS community’s resolution to the problem of transaction charges, which is presently one of many main points going through the Ethereum (ETH) community.
Underneath the brand new mannequin, customers have the selection of paying a small price to energy up their account for twenty-four hours with CPU and NET bandwidth that can be utilized to meet transaction wants or they’ll deposit their unused tokens to obtain a share of the facility up charges generated by the EOS public blockchain.
As community congestion will increase as international adoption rises, networks that supply acceptable options to excessive transaction prices and latency considerations are prone to entice extra customers in search of a clean person expertise.
New testnet ignites the rally
One of the crucial vital sources of momentum for EOS and its group got here on April 1 when Block.one introduced the discharge of its official EOSIO Testnet.
— block.one (@block_one_) April 1, 2021
In keeping with the undertaking’s web site, a number of the options included in the brand new testnet embody a multi-node distributed community, one-click blockchain account creation, an embedded EOSIO explorer and the inclusion of snapshots that allow the fast syncing of EOSIO testnet nodes to make sure excessive uptime.
The brand new testnet launch is without doubt one of the most vital releases to come back out of Block.one because the protocol was initially launched in 2018 and supplied a lift of confidence for group members who have been involved in regards to the January 2021 departure of Block.one chief technical officer and EOS creator Dan Larimer.
Momentum for the protocol was percolating throughout the month of March as a result of an ongoing hackathon that led as much as the shock launch of the testnet on April 1 and ignited a big price rally over the subsequent two weeks.
Google Cloud collaboration provides rocket gas to the rally
EOS bought an added increase to price momentum on April 2 when Google Cloud posted an article discussing its collaboration with EOSIO and the way it’s serving to revolutionize the integration of distributed ledger expertise with confidential cloud computing.
We’re serving to @Block_one_ develop and function their distributed ledger tech with the scalability and reliability of our community, innovation in Confidential Computing, and management in #AI / #ML and knowledge analytics. Be taught extra ⬇️ https://t.co/hfJd5BbpmM
— Google Cloud (@googlecloud) April 2, 2021
Google Cloud was additionally one of many most important companions in the aforementioned hackathon and had the aim of serving to “construct functions that redefine the way forward for blockchain and cloud-based methods” which helps to mix the clear nature of blockchain with the velocity and safety provided by cloud options.
Having such an lively relationship with a platform underneath the Google umbrella has given EOSIO elevated validity and the submitting of an EOS Grayscale belief in late January signifies that institutional buyers now have a better option to achieve entry to this rising ecosystem.
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