Algorand recently received a major boost to its blockchain ecosystem with Hivemind Capital investing $25 million in a Layer 1 Decentralized Finance (DeFi) chain.
- The Algorand DeFi ecosystem recently hit a new all-time high by total closed value
- ALGO posted a price hike of 3.23% before facing a minor price correction again
- Altcoin is expected to be very volatile over the next few days
The crypto-focused investment firm announced three days ago that it has deployed 80 million ALGO tokens across various governance and DeFi programs under the Algorand ecosystem.
During that time, ALGO was trading at $0.31, bringing the total value of the tokens published to $25 million.
Hivemind Capital’s input pushed Algorand’s total locked value (TLV) to a new all-time high of $270 million. On a week-to-date basis, in that time, the TLV in the blockchain has increased by as much as 53.95%.
It turns out that not only did the massive cash flow help the network with its total locked value, it also increased Algorand’s social dominance and ALGO price as well.
Algorand Social Engagement above 1,000%
According to data shared by LunarCrush, Algorand’s social engagement is up 1220% over the past seven days peaking at 12.78 million at the time of writing.
The cryptocurrency social intelligence firm concluded that this means ALGO has captured the attention of a large part of the crypto community.
Moreover, the upcoming FIFA World Cup may have sparked interest in both the blockchain network and cryptocurrency, as five months ago Algorand announced that he would be one of the sponsors of the much-anticipated sporting event.
Alpha: When you see spikes in social activity, it usually means that there is something to watch out for…$ ALGO Social interactions were measured hourly and amounted to 12.87 million, 1.22 thousand% more than the seven-day average.
– LunarCrush (LunarCrush) October 16 2022
The massive increase in social status proved to be a good incentive for Algorand as it also translated into a price pump for the alternative currency.
ALGO stock is up 3.23% over the 24 hour period trading at $0.32. However, at press time, digital assets have seen a price correction as data from Koenigku It showed that it was trading at $0.319.
It’s time to double ALGO
Various indicators from the Algorand trading chart indicate that it is time to take more risks in the ALGO property as greater rewards can be expected.
Bollinger Bands indicate that ALGO will be very volatile over the next few days which could help boost the altcoin prices.
Meanwhile, the Moving Average Convergence Divergence (MACD) showed that Algorand buyers (represented by the blue line) remain dominant over the sellers (orange line).
As buyers continue to dominate sellers, a short-term bullish streak may occur soon for the digital asset.
Crypto investors may have already anticipated this trend in Algorand, where there was a significant increase in ALGO titles.
By the end of September, the number of active titles reached 15 million. However, recent data shows that the number has increased by 200,000.
ALGO market cap at $2.9 billion on the weekend chart | Featured image from Forkast News, Chart: TradingView.com Disclaimer: The analysis represents the author's personal views and should not be construed as investment advice.