Phantom (FTM) is up 16.9% in the last 24 hours and 26.7% according to the weekly charts. Not only that, tokens based on the Phantom network have also made significant gains. SCREAM has rallied over 400% on the 30-day chart. On the other hand, GAINS gained 31.9% compared to last week.
In addition, FTM transaction volume increased by 154% due to the price increase. The increase in volume by itself presents an uncertainty because it indicates both buy and sell side transactions. However, the rise in the altcoin price is a sign that there is a preponderance of purchases.
So what triggered the Phantom rally?
The altcoin rally followed a post by Andre Cronje about how the firm has managed to keep cash flow positive over the years. Cronje served as the firm’s former Technical Advisor and Chairman of the Technology Council. According to Cronje’s post, Fantom currently owns more than 450 million FTMs, $100 million in stablecoins, $100 million in crypto assets, and half that amount in non-crypto assets. The developer claimed that the $7 million annual revenue of the project will enable it to operate unhindered for another 30 years without ever touching FTM assets. The Phantom project currently makes about $10 million a year.
Cronje also said that 81.5 million FTMs were sold to Alameda Research in February 2021.
Besides, it is difficult to say whether the FTM rally will continue. There is a lot of uncertainty that can affect the market. The US Federal Reserve will likely raise interest rates once again next month, which could cause prices to drop once again.
Regardless, Fantom runs on a Phantom Virtual Machine (FVM) similar to Ethereum’s virtual machine. This project has got a lot of people excited and could provide an additional boost to the altcoin. However, there is no launch date yet.
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.