- The Graph price has risen sharply in the past few weeks.
- The platform’s ecosystem growth is expanding.
The Graph price has done relatively well in the past few days as investors cheer the platform’s ecosystem growth. GRT, its native token, is trading at $0.3680, which is about 17% above the lowest level this month. This rebound brings the coin’s total market cap to about $2.26 billion, making it the 53rd biggest coin in the world.
What is The Graph and why is it rising?
The blockchain industry has done relatively well in the past few years. Today, it is estimated that there are over 17,000 cryptocurrencies globally.
Most of these platforms are all built using the open-source approach, meaning that anyone can contribute to the code.
The Graph helps developers simplify their coding process by enabling querying of large data sets. Its three key products are: Subgraph Studio, Graph Explorer, and Hosted Services.
Studio helps developers to create and manage subgraph APIs while explorer helps them explore various subgraphs. Hosted services lets them create and explore subgraphs on hosted services.
The Graph price is likely rebounding because of the ongoing migration to its platform. In a recent note, the developers noted that many Ethereum builders were now embracing its network.
This trend will likely continue because of the large investments that are happening. Earlier this year, the developers raised $50 million in a GRT token sale.
Proceeds of the funds will go towards funding developers using the network. For example, they issued grants worth over $1.7 billion in January. This came a month after they gave out $48 million to other developers. In total, they have allocated over $205 million towards grants.
The benefit of The Graph is that its network will keep doing well as the world moves towards web 3.0 and other decentralized ecosystems.
The Graph price prediction
The four-hour chart shows that the GRT price formed a strong floor at $0.3174 this month. In the past few days, the coin has moved significantly above the 25-day and 50-day exponential moving averages (EMA).
The Relative Strength Index (RSI) and the MACD have been in a strong upward trend in the past few weeks. The price is also slightly below the key resistance is at $0.400.
Therefore, there is a likelihood that the coin will keep rising as bulls target this point at $0.40. This view will be invalidated if the price falls below the key support at $0.30.
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