Algorand (ALGO) could advance even more in the ongoing bull market, but the risk remains high

Written by: Stanko Iliev
April 11, 2021
  • Vesta Equity will use Algorand's blockchain for residential property financing and investing
  • If the price jumps again above $1.6, the next price target could be around $1.70
  • $1.2 represents a strong support level

Algorand’s (ALGO) price has advanced from $0.33 above $1.80 since the beginning of the 2021 year, and the current price stands around $1.42. The cryptocurrency market continues to trade in a bull zone; Bitcoin has stabilized above the $59000 level, indicating that the price could advance again above the $60000 resistance level.

Fundamental analysis: Vesta Equity will use Algorand’s blockchain for residential property financing and investing

Algorand’s (ALGO) price has exploded since the beginning of January, and this cryptocurrency continues to trade in a buy zone. Algorand is a proof-of-stake (PoS) blockchain, and the main characteristic of this project includes open participation, scalability, security, and transaction finality.

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Algorand enables developers to create new applications on its platform fuelled by cryptocurrency, but there’s still a level of uncertainty surrounding the project. The positive news is that Vesta Equity announced last week that it would use Algorand’s blockchain for residential property financing and investing.

Vesta Equity is the global home equity marketplace that provides homeowners with the tools to control their home equity.

“Vesta Equity and Algorand have a shared vision of how blockchain enables the creation and exchange of value in a more efficient, transparent, and secure manner. By expanding opportunities for homeowners as well as investors, Vesta Equity is at the forefront of creating new, more accessible market opportunities by bringing participants together through Algorand’s technology,” said W. Sean Ford, COO of Algorand.

Algorand liquidity has risen dramatically, and many estimates say that this cryptocurrency price could advance even more in the ongoing bull market. Despite this, the current risk/reward ratio is not good for long-term investors, in my opinion, and if you decide to buy Algorand (ALGO) this month, you should always use a “stop-loss” order.

Technical analysis: $1.2 represents a strong support level

This cryptocurrency has made a big jump in a short period and, if you decide to buy  Algorand(ALGO) this April, you should consider that the price could also weaken from the current levels.

Data source: tradingview.com

The critical support levels are $1.20 and $1; $1.6 and $1.8 represent the current resistance levels. If the price jumps again above $1.6, it would be a signal to trade Algorand (ALGO), and the next price target could be around $1.70.

On the other side, if the price falls below $1.20, it would be a firm “sell” signal, and we have the open way to $1 support.

Summary

Algorand (ALGO) continues to trade in a bull market, and the positive news is that Vesta Equity announced last week that it would use Algorand’s blockchain. Many estimates say that this cryptocurrency price could advance even more in the ongoing bull market, but if the price falls below $1.20, it would be a firm “sell” signal.