Cryptocurrency market is declining due to macroeconomic conditions. Bitcoin slumped below $19,000, but then recovered somewhat and is now trading at $19,238. Ethereum has lost 3.33% in the last 24 hours and more than 17% in the last 7 days. With this, Algorand (ALGO)managed to surpass the bearish trend of the market.
ALGO is up more than 16% in the last 24 hours, despite the massive sell-off event in the altcoin market. In the last 7 days, Algorand has gained over 26% in value. Algorand’s success can be attributed to its network’s increasing main-net processing capacity to 6,000 transactions per second (tps).
The US Federal Reserve has decided to raise interest rates by 75 basis points. Fed chairman Jerome Powell said further quantitative tightening is appropriate. As a result, the crypto market has been in a rush.
Why Is Algorand Outperforming The Crypto Market?
Koinfinans.com As we reported, Algorand is a proof-of-stake based blockchain protocol. The team behind altcoin claims to place great emphasis on issues like decentralization, security, and scalability. It also sees environmental sustainability as the protocol’s biggest selling point.
Algorand achieved one of its most important technical achievements yesterday. State Proofs made available on the Algorand blockchain. State Proofs give blockchain the ability to digitally sign any message in a truly decentralized way. According to Algorand co-founder Silvio Micali, State Proofs secure the network against quantum attacks. It also allows decentralized bridges to be built with other blockchains.
More importantly, the protocol claims that the blockchain can now handle 6000 transactions per second. In contrast, the popular financial services Mastercard is believed to be able to process just 5000 transactions per second.
Algorand’s price surge during the crypto crash is in stark contrast to Ethereum’s decline after the Merge update. While the leading altcoin fell 20% after Ethereum Merge, Algorand’s technological achievements caused an increase of over 20%.
You can follow the current price action here.
Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, Koinfinans and the author of this content cannot be held responsible for personal investment decisions.