Algorand cryptocurrency is a next-generation blockchain network. The technology has been nicknamed “blockchain 3.0”. This is because it solves the most pressing problems of Bitcoin’s scalability while maintaining security and decentralization. This network is expected to improve the efficiency of the current financial system. So, is investing in Algorand a good idea? Let’s look at Algorand price prediction in the near and far future.
What is Algorand?
Algorand (ALGO) is a decentralized and open blockchain system founded by computer scientist Silvio Micali. The main goal was to create a blockchain platform that would be accessible to everyone, thereby expanding the capabilities of users. It was launched in June 2019. Micali, 67, referred to Algorand as greener, faster, and more secure than other protocols.
The system operates on Proof of Stake (PoS), an algorithm through which holders receive rewards by simply holding cryptocurrencies in their wallets or exchange balances. The system also guarantees a higher payment processing speed than traditional financial systems.
Moreover, the Algorand blockchain provides instant and unconditional completion of transactions without branching. This solves the problem facing other blockchains, which suffer from uncertainty and lack of transactional integrity.
The maximum token supply is just shy of 10 billion tokens. They currently have 6.87 billion in circulation on the market and will add approximately 170 million tokens yearly through staking rewards. Algorand Inc. holds about 2 million ALGO, and another 2 billion tokens are used to run the Algorand Foundation. Moreover, 50 million tokens have been allocated to auction operations.
What is Algorand’s Price Prediction for 2022
Algorand has had an eventful year so far, much like most of the cryptocurrencies on the market. ALGO is now sitting at $0.314404 and is ranked 28 on CoinGecko at the time of writing. Algorand opened the year at $1.75 but has been steadily dropping. The most notable move was a crash from $1.75 on Jan 2, 2022, to $0.94 on Feb 3, 2022, and an almost 50% drop in just 30 days.
This steady drop in ALGO price is because of the string of incidents occurring in the cryptoverse. From the Terra Luna crash to the Celsius’ bad loan debacle, these factors have negatively affected bitcoin’s price, which tends to drag down the entire market.
Will ALGO’s Price Crash in 2022?
$0.31 is a crucial price for Algorand. The daily chart shows ALGO is hanging in mid-air below both the 200 Exponential Moving Average (EMA) and the 21-day EMA. This is a dangerous place for the price of an asset to be. The next supports for this cryptocurrency are $0.2189 and $0.1194, respectively. Between $0.31 and $0.2189, there is little to no support.
This means that if Bitcoin decides to continue its aggressive sell-off, Algorand will soon be embracing new weekly lows. In addition, it is worth noting that $0.1053 is the lowest price Algorand has ever reached. The asset touched this price over two years ago, and it seems that soon it might be revising these lows and even going lower.
Bitcoin is trading at $20,652 as new fears of a fresh sell-off hit the markets amid Three Arrows Capital’s (3AC) looming solvency. If this news is accurate, BTC will be significantly affected, and the price of Algorand could tank below the all-time low of $0.1053.
Will ALGO’s Price Spike in 2022?
The bullish case for the Algorand price prediction lies more in its fundamentals. However, visiting the charts first, there is some faint hope for Algorand if Bitcoin decides to behave. At the $0.11 – $0.21 zone, ALGO can gain some strong support. The asset can bounce off this support and begin a new rally, hopefully with the next bull market.
Moving on to the fundamentals, the Algorand ecosystem boasts a super-fast blockchain that is scalable and secure. Moreover, the cost of using this blockchain is exceptionally cheap. According to the Algorand website, it costs “a fraction of a penny” to perform transactions on the Algorand chain. While the ALGO ecosystem is just blooming, there has been a flurry of activity on this chain.
Several NFT, DeFi, and Metaverse projects have opted to launch on Algorand, showing the network has actual demand and potential to generate revenue. They work with Matic, Amazon, Avalanche, Binance Smart Chain, and many other good projects. They are also supported by top wallets and have support from different protocols like Anyswap. Hence, Algorandis a robust ecosystem,
ALGO is the native token for the Algorand blockchain and is needed to pay for transactions. More and more projects might be enticed into using the Algorand chain because they have successfully solved the blockchain trilemma. This will lead to the price of ALGO rising.
What Will Be The Average Price of ALGO By the End of 2022?
Algorand is currently in murky waters. However, it is unlikely that it will go beyond its all-time low price. If Bitcoin decides to crash further, Algorand’s price could quickly drop to the $0.11-$0.21 range. Bitcoin’s onslaught should continue until around September to November before a bullish reversal comes. This will put further pressure on ALGO; hence, by December, ALGO might be trading at around $0.21 to $0.32.
ALGO Price Predictions by Other Experts
There are many different investor teams on the internet. And while they might come from traditional finance, their expertise in reading the charts and making forecasts is sensational. As always, doing your own research is highly paramount, but so is finding out what other experts think of the asset you’re about to invest in. Two (or ten) heads are always better than one.
Here is what expert investors think of Algorand’s price in the future:
Ranking #27 on DigitalCoinPrice.com, Algorand has a $2.14 billion market cap. While ALGO is up 0.94% at the time of writing, the asset is down -30.59% for the month. DigitalCoinPrice.com predicts that Algorand will be trading at an average price of $0.46 after one year.
- July: Minimum $0.30 – $0.43 Maximum
- August: Minimum $0.31 – $0.45 Maximum
- September: Minimum $0.31 – $0.46 Maximum
- October: Minimum $0.32 – $0.45 Maximum
- November: Minimum $0.29 – $0.43 Maximum
- December: Minimum $0.30 – $0.46 Maximum
TechNewsLeader is one of the top-ranking crypto price predicting platforms. They predict Algorand will be trading at $0.54 by the end of 2022. Furthermore, in 2023, ALGO will rally and trade at an average price of $0.80. Further, TechNewsLeader only sees this asset rising higher and higher over the years. Their 10-year forecast projects ALGO will be trading at $16.58 by the time 2031 arrives.
- July: Minimum $0.46 – $0.51 Maximum
- August: Minimum $0.47 – $0.53 Maximum
- September: Minimum $0.49 – $0.55 Maximum
- October: Minimum $0.49 – $0.57 Maximum
- November:Minimum $0.50 – $0.60 Maximum
- December: Minimum $0.52 – $0.62 Maximum
Trading Beasts provide objective predictions that are entirely based on statistical data. They employ linear and polynomial regressions to get a clearer trend in the price of any tradable asset. Trading Beasts see Algorand’s future as a relatively bright one, with prices rising as high as $0.56 by December 2022.
- July: Minimum $0.405 – $0.595 Maximum
- August: Minimum $0.402 – $0.592 Maximum
- September: Minimum $0.399 – $0.586 Maximum
- October: Minimum $0.394 – $0.580 Maximum
- November: Minimum $0.388 – $0.571 Maximum
- December: Minimum $0.381 – $0.561 Maximum
According to the Wallet Investor, Algorand will be trading at $0.0336 one year from now. While this is massively alarming for ALGO investors, you should note that Wallet Investor updates its forecast every three minutes using an algorithmic technical analysis bot. Hence, whatever is happening in the market currently will reflect in the price forecast. Wallet investors seem to have the most contrasting forecast on this list.
- June: Minimum $0.301 – $0.311 Maximum
- July: Minimum $0.287 – $0.301 Maximum
- August: Minimum $0.265 – $0.287 Maximum
- September: Minimum $0.253 – $0.265 Maximum
- October: Minimum $0.240 – $0.253 Maximum
- November: Minimum $0.213 – $0.240 Maximum
- December: Minimum $0.181 – $0.213 Maximum
Algorand Price Prediction for 2023 to 2025
It is assumed that the minimum price of Algorand in 2023 will be around $0.75. The maximum is expected to go up to $0.91. The average trading price may be $0.77. According to an analysis by cryptocurrency experts, the prices of ALGO in 2024 will be $1.10 at a minimum and $1.29 at a maximum. The average trading cost for the year is expected to be $1.14.
In 2025, the prices are expected to shoot up to a high of $1.90 and a low of $1.61. The average trading cost might be around $1.67.
Algorand Price Prediction for 2025 to 2030
By 2026, Algroand’s prices will fluctuate between $2.31 and $2.74. Based on the analysis of the costs of Algorand by crypto experts, the average price will be sitting at $2.40 by then. In 2027, the estimated average ALGO price will have hit $3.52, with a minimum price of about $3.42. ALGO will touch $4.00 on the higher side in that year.
In 2028, ALGO may trade between $4.97 and $5.81 with an average price of around $5.11. ALGO prices may further hike to $8.83 and drop to a low of $7.15 in 2029. The expected average trading price will be $7.36. By 2030, ALGO would have peaked at $12.12 with a low of $10.29. The average ALGO price for the year will be $10.58.
Is Algorand a good investment in 2022?
The predictions show that Algorand is a good buy in 2022. While the returns on investment (ROI) might not be all that huge, ALGO is a profitable investment.
Is Algorand a good long-term buy?
Being a very consistent blockchain, Algorand’s future looks bright. Being a relatively new blockchain with superior statistics to other Layer 1’s, Algorand will attract more users and hence more utility for the ALGO token. Also, judging from the predictions, it is clear that the token will be on a constant rise for the next ten years and perform well in the market.
Is Algorand Deflationary?
Algorand is not deflationary. On the contrary, it is inflationary. There is a maximum supply of 10 Billion ALGO tokens that will ever exist. The developers initially released 3 billion ALGO into circulation at launch. Since then, the circulating supply has swelled to over 6.5 billion ALGO tokens.
How does Algorand Make Money?
Algorand is a blockchain that provides a secure, cheap, and scalable platform for developers to launch their projects on. In return, Algorand enjoys fees from developers who want to create projects on the network. Projects can range from Metaverses, NFT collections, DeFi protocols, and decentralized applications.