Bullish cycles in the cryptocurrency market can be exhilarating for both intraday traders and long-term investors, but the speed at which prices are moving can make it a challenge for promising new projects that want to capitalize on the momentum before the Cycle unfolds.
This reality has resulted in some projects being listed on the exchanges in the form of promissory notes so that interested parties can participate in commercial promotions before the token is officially launched. Polkadot (DOT) is one of the most famous examples of a token that has gone through this process.
Casper (CSPR), As a proof-of-stake blockchain platform, it’s a relatively new project that has benefited from this Schuldschein process. and its token has made significant gains since its first coin offering ended on April 7th when early investors were able to purchase the altcoin for $ 0.03.
Data from CoinMarketCap show that the price of CSPR is up 2,300% since May 6, climbing from a low of $ 1.15 to an all-time high of $ 28 on May 10 as excitement and trading volume increased.
Inclusions on major exchanges trigger a frenzy
CSPR’s IOU token was listed on some of the lesser-known exchanges shortly after its ICO closed and low volume, like BitZ, where it was traded under USD 3 until the beginning of May.
The price action for the token began to rise on May 7th. As trading volume began to surge ahead of the May 9 announcement that CSPR would be listed on Huobi, the sixth largest cryptocurrency, an event that was logged by the system “NewsQuakes “ from Cointelegraph Markets Pro ahead of the price rally.
Trading volume on exchanges with CSPR has increased six-fold after the announcement, which pushed the price of the token 933 times its ICO price just over a month earlier.
Associations indicate a considerable potential for use
A tour of the project’s Twitter account shows that there is more than just a speculative turmoil behind the price increase of the token. because multiple partnerships and protocol developments indicate that Casper has strong foundations and significant growth potential.
After starting the Main network by Casper on March 31st, The protocol announced several collaborations, including partnerships with Terra Virtua, BIGtoken, WISeKey Y. Lead ventures. The team also initiated the launch of DEVvDAO, A platform that awards grants for open source development in the Casper network.
The protocol has also benefited from its focus on development and expansion in Africa Y. Middle East, two areas of the world that remain relatively untapped in terms of the real growth potential they offer the blockchain sector.
Meet Saeed Hareb Al Darmaki, #CasperLabs Managing Director of the Middle East and North Africa https://t.co/Yd8dCDk26l
– Casper (@Casper_Network) April 8, 2021
Although Casper is not widely used on the major exchangesThe hype surrounding the token and the performance of other IOU inclusions like DOT show that investors are interested in the project.
Aside from the speculation of the dealers, The project already has strong relationships with established crypto companies like BitGo, and the fact that there are a multitude of use cases suggests that there is more than just hype behind the recent price hike.
The views and opinions expressed are those of the author only and do not necessarily reflect the views of Cointelegraph. Every investment and trade movement involves risk. You must do your own research when making a decision.