2 reasons why Casper (CSPR) IOU token rallied 2,300% in one week


Bull market cycles in the cryptocurrency market can be exhilarating for day traders and long-term investors alike, but the speed at which the prices move can make it a challenge for promising new projects that are looking to catch the momentum before the cycle plays itself out.This reality has led to some projects listed on exchanges in the form of token IOUs so that interested parties can get in on the trading action before the token is officially released. Polkadot (DOT) is one of the most well-known examples of a token that went through this process. Casper (CSPR), a proof-of-stake blockchain platform, is a relatively new project that has benefited from this IOU process, and its token value has made significant gains since the end of its initial coin offering on April 7 when early investors were able to acquire the altcoin for $0.03. CSPR/USD 1-hour chart. Source: CoinMarketCapData from CoinMarketCap shows that the price of CSPR has vaulted 2,300% higher since May 6, jumping from a low of $1.15 to a record high at $28 on May 10 as excitement and trading volume surged. Major exchange listings spark a frenzyThe CSPR IOU token was listed shortly after the completion of its ICO on some of the more obscure, low-volume exchanges like BitZ where it traded in the sub $3 range until early May. Price action for the token started to pick up on May 7 as trading volumes began to increase ahead of the May 9 announcement that CSPR would be listed on Huobi, the sixth-largest cryptocurrency exchange, a development that was registered by the Cointelegraph Markets Pro ‘NewsQuakes’ system ahead of the price rally. NewsQuakes™. Source: Cointelegraph Markets ProTrading volume on exchanges that list CSPR increased six-fold following the announcement and this propelled the token price 933 times higher than its ICO price just a little over a month before. Partnerships point to significant use-case potentialA scroll through the project’s Twitter feed shows that there is more than just speculative hype behind the token’s rising value as multiple partnerships and protocol developments indicate Casper has a strong foundation and significant growth potential. Following Casper’s mainnet launch on March 31, the protocol announced multiple collaborations including partnerships with Terra Virtua, BIGtoken, WISeKey and Lead Ventures. The team also initiated the launch of the DEVvDAO, a platform that issues grants for open source development on the Casper network. The protocol has also benefited from its focus on development and expansion into Africa and the Middle East, two areas of the world that remain relatively untapped as far as the true potential for growth that they offer the blockchain sector. Meet Saeed Hareb Al Darmaki, #CasperLabs Managing Director of the Middle East and North Africa.https://t.co/Yd8dCDk26l— Casper (@Casper_Network) April 8, 2021

Even though Casper is not widely listed at major exchanges, the hype surrounding the token, and the performance of other IOU listings like DOT prove that investors are interested in the project. Aside from speculation from traders, the project already has strong relationships with established crypto-firms like BitGo and the fact that there are a variety of use cases suggest that there’s more than the hype surrounding the recent price surge.The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.

Avatar

Related Articles

- Advertisement -

Latest Articles

bitcoin
Bitcoin (BTC) $ 27,218.29
ethereum
Ethereum (ETH) $ 1,905.78
tether
Tether (USDT) $ 1.00
bnb
BNB (BNB) $ 307.31
usd-coin
USD Coin (USDC) $ 1.00
xrp
XRP (XRP) $ 0.525252
staked-ether
Lido Staked Ether (STETH) $ 1,904.11
cardano
Cardano (ADA) $ 0.381944
dogecoin
Dogecoin (DOGE) $ 0.073040
solana
Solana (SOL) $ 21.60
matic-network
Polygon (MATIC) $ 0.905883
tron
TRON (TRX) $ 0.080839
litecoin
Litecoin (LTC) $ 96.15
polkadot
Polkadot (DOT) $ 5.37
binance-usd
Binance USD (BUSD) $ 1.00
shiba-inu
Shiba Inu (SHIB) $ 0.000009
avalanche-2
Avalanche (AVAX) $ 14.76
dai
Dai (DAI) $ 1.00
wrapped-bitcoin
Wrapped Bitcoin (WBTC) $ 27,276.31
uniswap
Uniswap (UNI) $ 5.12
chainlink
Chainlink (LINK) $ 6.50
leo-token
LEO Token (LEO) $ 3.60
cosmos
Cosmos Hub (ATOM) $ 10.80
okb
OKB (OKB) $ 46.02
monero
Monero (XMR) $ 150.05
ethereum-classic
Ethereum Classic (ETC) $ 18.21
the-open-network
Toncoin (TON) $ 1.74
stellar
Stellar (XLM) $ 0.092257
bitcoin-cash
Bitcoin Cash (BCH) $ 116.79
internet-computer
Internet Computer (ICP) $ 4.85
filecoin
Filecoin (FIL) $ 4.87
lido-dao
Lido DAO (LDO) $ 2.35
true-usd
TrueUSD (TUSD) $ 0.999942
aptos
Aptos (APT) $ 9.04
quant-network
Quant (QNT) $ 117.68
hedera-hashgraph
Hedera (HBAR) $ 0.050984
arbitrum
Arbitrum (ARB) $ 1.23
crypto-com-chain
Cronos (CRO) $ 0.059855
near
NEAR Protocol (NEAR) $ 1.64
vechain
VeChain (VET) $ 0.020021
the-graph
The Graph (GRT) $ 0.129658
apecoin
ApeCoin (APE) $ 3.16
algorand
Algorand (ALGO) $ 0.153020
the-sandbox
The Sandbox (SAND) $ 0.576055
eos
EOS (EOS) $ 0.922668
paxos-standard
Pax Dollar (USDP) $ 0.999785
render-token
Render (RNDR) $ 2.75
frax
Frax (FRAX) $ 0.999863
elrond-erd-2
MultiversX (EGLD) $ 38.65
optimism
Optimism (OP) $ 1.51