Get the weekly summary of crypto market analysis, news, and forecasts! This Week’s Summary The Crypto Market ends the week at a total market capitalization of $1,286 trillion. Bitcoin manages to withhold the $30k level after a disappointing week. Ethereum lost almost 3% of its value over the past seven days. XRP decreased by nearly 3% this past week. Almost all altcoins are trading in the red, with very few exceptions. The DeFi sector lost over $0.3 billion from the…
The COVID-19 Situation and Blockchain
The COVID-19 Pandemic has, in many ways, left the world gasping for breath. The pandemic has brought global lockdown, stock market crash, unemployment highs, and economic fluctuations. Because of the severity of the Corona Virus, authorities deemed it best to take such drastic measures to better humanity.
But the blockchain industry, for better or worse, has found itself in a niche that remained almost entirely unaffected by the offset the pandemic has brought. Bitcoin, the blockchain market’s spearhead, has slowly proved its worth by remaining stable and volatility-free. The cryptocurrency fluctuated only between $9,000 and $10,000, showing immense stability and organic growth. The total market grew about $1.5 billion a day on average, with the market volume the following suit. The COVID-19 pandemic has allowed developers worldwide to be away from their regular duties and pay attention to their communities by contributing as much as possible.
To highlight the “uncorrelatedness” (if that’s even a word) of the cryptocurrency market with the COVID-19 pandemic, we have compiled a list of some of the biggest gainers in the last 90-120 days. The list features some shocking names and projects that have made the most of the current situation.
How the Coins were Filtered
The reader might ask how the tokens mentioned below are filtrated and made it to the list. We agree that the list is not perfect in any way, but we have tried our best to be as objective as possible. To make sure only well-established coins and projects are considered, we came up with a filtering mechanism that took away most of the volatile, on-off coins and left us with a collection of the most interesting projects.
The assumptions made are
- Coin Growth considered only in terms of USD
- No Games or Gambling Tokens
- Backed by an Interesting and Community Backed Project
- Has been in the Crypto space for more than 1 year
- Has had Consistent Volume for the past 90 days
Top Performing Coins During the Pandemic
FileCoin is a project that aims to use the power of blockchain to build a decentralized file storage service. The project’s proposed model suggests that the network will use free available space on any computer’s hard drives to store and propagate data. The idea is backed by prominent venture capitalists and run by a team at the forefront of blockchain technology. FileCoin aims to create an immense pool of global data storage. The founders of FileCoin feel it is necessary for the coming decades, as more and more systems become computerized and as storage needs grow exponentially. In essence, FileCoin aims to act as a data repository that securely stores data silos for future use.
It seems FileCoin has really picked up pace during the global pandemic. FileCoin has boasted gains of over 710%, moving from $4.3 in just March 2020 to $32 in July 2020. The gain is owing to the recent TestNet Phase 2 release, optimization of the in-house Proof-of-Replication consensus mechanism, and improved usability. A full list of the upgrades and announcements can be found here.
Synthetix Network Token – SNX
Since the major improvements and optimizations to the Ethereum Network, the market has given birth to a new niche – Decentralized Finance (DeFi). The DeFi movement, as it is called, is attempting to take the original promise of blockchain technology even further. If the DeFi movement is successful, everyone on the planet will have easy and open access to a complete range of financial services, all without the need for banks or third-party intermediaries.
The Synthetix Network, an addition to the DeFi Innovation Wave, is hoping to do just this. Synthetix was created as a DeFi project that will create synthetic virtual assets backed by a blockchain. These synthetic assets could track any other asset’s price, be it currencies, equities, bonds, commodities, or even other cryptocurrencies. If it’s something with real-world value, then the Synthetix platform will allow a synthetic asset to be created and track that asset’s price.
During the past 90 days, Synthetix has really taken advantage of the growing interest in the Blockchain community by periodically rolling out upgrades, adding new features, and quite simply increasing the way of use. The DeFi sector has grown immensely over the pandemic, of which Synthetix is one of the biggest benefactors. The SNT coin has grown from a meager $0.68 to the current high of $2.41, boasting a rise of 481% in just 90 days.
Elrond – ERD
The Elrond Network is a public blockchain created to provide high-level scalability, interoperability, and high throughput. The goal is to create a decentralized network that can provide the same or better performance than centralized networks while also providing users with greater privacy. Yes, it sounds just like every other cryptocurrency, but Elrond’s difference is the founders’ approach.
The team aims to develop a scaling method called “Adaptive State Sharding” and integrate it with an iteration of the Proof-of-Stake consensus mechanism. It is estimated that Elrond can process upwards of 10,000 transactions per second (TPS), with 5-second latency and negligible cost if all developments go smoothly. Recently, Elrond received its biggest backing yet, from none other than Binance Labs. Binance Launchpad, the incubator arm of Binance Labs, invested around $1.9 million in the Elrond Project, realizing the team’s immense potential.
Over the past few months, the team has stepped up its game by contributing to its development non-stop. Going to the dedication and increasing interest it followed, Elrond has really spearheaded the market. Elrond’s price went from $0.00082 beginning March 2020 to a historic $0.011 in July 2020. This means that the price has pushed itself 1264% in just 90%, putting all other coins in the market to shame and earning its spot in the Top 100 coins.
The Ocean Protocol is a decentralized data exchange that aims to unlock data with “deterministic proofs on availability and integrity that serve as verifiable service agreements” in place. It is breaking down data silos, equalizing access to data for all. Operating from a time-tested Ethereum blockchain, there is now more incentive for data generators to share theirs because of an incentivizing model in place. There is also staking in place to “signal quality, reputation, and ward against Sybil Attacks.” Ocean Protocol will aim to drive the fourth industrial revolution-largely defined by access to actionable intelligence found at a depth of secured but accessible data crunched by iterative AI algorithms.
Before the global lockdown, OceanFX already showed immense potential by gaining 50% in just over a month. What happened over the next three months saw a historic price increase of over 585%, which pushed the price to $0.0023 from the meager $0.00041 in March 2020. The sudden price hike is owed to the increasing exchange listing, project announcements, and rise in user demand for data privacy.