BitTorrent soars 30% to new all-time high, $5B market cap: What’s behind the rally?

189
SHARES
1.5k
VIEWS


BitTorrent (BTT), the native token of the favored peer-to-peer file-sharing protocol BitTorrent, has surged almost 30% up to now 24 hours.

The rally took the valuation of BTT to over $5.2 billion, making it the twenty fourth most beneficial cryptocurrency by market capitalization. What’s extra spectacular, the token’s worth has elevated greater than ten-fold up to now two months. 

BTT/USDT 4-hour value chart (Binance). Supply: TradingView.com

Is there any catalyst behind the BTT rally?

There was no clear elementary catalyst behind the BTT rally thus far. However, the token has demonstrated robust technical momentum because it spiked by almost 120% inside every week in mid-March.

Since then, the amount of BTT has repeatedly elevated, inflicting it to garner extra momentum because it surged previous its all-time excessive.

A number of elements might have boosted BTT up to now a number of days, nonetheless, specifically staking on Poloniex, TRON founder Justin Solar’s high-profile purchases of NFTs, and rising sentiment on social media.

On March 25, Poloniex Alternate, which was acquired by a consortium of patrons which included Justin Solar, which Cointelegraph beforehand reported, introduced staking on alternate with BTT.

The staking announcement from Poloniex might have added to the client demand for BTT as a result of customers might earn rewards by shopping for and staking BTT. The alternate said:

“With Poloniex staking, prospects earn rewards whereas sustaining the pliability to commerce, deposit, and withdraw always. Together with this flexibility, prospects can proceed to earn staking rewards proper up to date they resolve to commerce their funds into a unique asset.”

Moreover, BitTorrent has been pushing the narrative of Solar shopping for high-profile NFTs as of late.

On March 29, BitTorrent tweeted:

“Justin Solar introduced the official institution of the #JUST NFT Fund and the Plan to rent a prime tier artist because the chief NFT advisor of JUST #NFT Fund. Be a part of us now within the marvelous journey navigated by JUST #NFT!”

Contemplating that BTT is part of the Tron ecosystem, the constructive sentiment round NFTs and the main focus of Solar on the NFT market might have had a constructive impact on the worth of BTT.

Social media sentiment spikes

Lastly, the each day sentiment rating versus the tweet quantity of BTT surged by 377% starting March 30, proper earlier than the worth of BTT started to rally.

BTT each day sentiment rating vs. tweet quantity. Supply: The Tie

Thus, the brand new BTT all-time excessive seems to be the results of a technical breakout, not solely pushed by robust social media momentum, but in addition the rebounding value of Bitcoin in addition to altcoins throughout the board. 

As Cointelegraph reported, Bitcoin’s market dominance has dropped beneath 60% whereas the whole market capitalization of altcoins has reached a brand new all-time excessive of $855 billion on March 31.