Elrond Price Prediction: EGLD Preps For a Major Rally
The Elrond price has stagnated. EGLD is trading at $237, where it has been in the past few days. The price is slightly below the September high of $300. This price action has brought its total market capitalization to more than $4.5 billion.
Elrond fundamental analysis
Elrond is a third-generation blockchain project that was built based on the inspiration of Zilliqa. The network solves some of the key problems that Zilliqa has. For one, it is built using a proof-of-stake consensus mechanism while Zilliqa is based on proof-of-work for network security. Zilliqa uses the Byzantine Fault Tolerance (BFT) for consensus.
Another difference is that Elrond has features known as adaptive sharding while Zilliqa uses sharding. Adaptive sharding breaks blocks into pieces in a bid to boost speeds. Therefore, Elrond is a faster network that provides cross-chain interoperability. It is also relatively faster and cheaper to operate.
As a result, more developers have embraced the network. For example, it is being used by teams like Crust and Tatum. This week, the developers announced that its technology will be used by Woodstock, Zero, and Litentry. They also announced a $15 million accelerator program in Dubai that will be managed by Morningstar Ventures. Most importantly, they acquired Twispay, a Romania fintech startup.
Elrond price prediction
The daily chart shows that the EGLD price is at an important level. The current price of $237 is along the highest point in April this year. A closer look shows that the coin has formed a cup and handle pattern. It is currently forming the handle section of this pattern. At the same time, it is along the 25-day and 50-day moving averages. Also, it has formed what looks like a bullish pennant pattern.
Therefore, there is a likelihood that the Elrond price will soon breakout since the pennant pattern is reaching its convergence zone. If this happens, the price will move above the key resistance at $300 and eye $350. The bullish view will be invalidated if the price falls below $200.