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Algorand sends strong fundamental signals. The network is gaining momentum, active addresses are skyrocketing, and the return of the whales is confirmed. However, in the crypto ecosystem, this type of setup does not always lead to an immediate price increase. This is exactly what is happening here: ALGO remains stuck despite the positive background trend.
In Brief
- Algorand records a sharp increase in network activity, but ALGO’s price remains stuck below $0.19.
- Spot investors are accumulating, while derivatives retreat, hindering any bullish impulse.
- Without an external catalyst or reversed selling pressure, ALGO remains trapped in a sideways range.
Rising Activity, Frozen Price: The Disconnect in the Crypto Market
With over 1.2 million active addresses, Algorand stands out as one of the most dynamic blockchains currently. A performance that contrasts with the decline of the ALGO crypto. At the time of writing, ALGO is trading below $0.19. In a context where attention on crypto often focuses on price action, this dissociation is puzzling.
Even bullish signals from the whales — +68% purchases over 7 days — have not yet been enough to reverse the trend. A classic crypto market scenario: fundamentals improve, but the price awaits a catalyst.
In the crypto market, the balance between spot and derivatives is often revealing. Here, the data shows a clear dichotomy: spot purchases continue, but derivative markets are contracting. Volume decreasing, open interest falling: leveraged operators stay on the sidelines, limiting any bullish potential.
Meanwhile, liquidations accumulate on the long side, signaling an unbalanced structure — not conducive to an immediate breakout.
ALGO Trapped in a Range
ALGO moves between $0.16 and $0.25 without a breakout. This is typical of a crypto in prolonged consolidation, where accumulation often precedes a stronger move. But in the absence of increased speculative interest, the breakout from this range remains uncertain.
As often, a triggering element will be needed: short squeeze, macro announcement, or coordinated movement by major holders. Otherwise, the sideways scenario remains dominant.
Algorand ticks several boxes: growing adoption, long-term accumulation, favorable technical signals on the RSI. But in a volatile crypto market, more than increased activity is needed to trigger a rally. For now, ALGO remains a fundamentally solid crypto but clearly undervalued — frozen awaiting a credible trigger. Meanwhile, Ether ETFs are stealing the spotlight, attracting over 800 million dollars in inflows and diverting attention from the losing altcoins.
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Fascinated by Bitcoin since 2017, Evariste has continuously researched the subject. While his initial interest was in trading, he now actively seeks to understand all advances centered on cryptocurrencies. As an editor, he strives to consistently deliver high-quality work that reflects the state of the sector as a whole.
DISCLAIMER
The views, thoughts, and opinions expressed in this article belong solely to the author, and should not be taken as investment advice. Do your own research before taking any investment decisions.
