- The Graph token price has formed an inverted H&S pattern.
- The network will celebrate its second birthday next week.
The Graph price has staged a slow recovery in the past few days as the network turns two years. GRT rose to a high of $0.0711, the highest level since November 23. It has risen by more than 30% from its lowest level in November.
What is The Graph and why is it rising?
The Graph is one of the biggest blockchain infrastructure network. While most people don’t interact with The Graph directly, they do interact with dApps that use it in their backend.
The Graph is an infrastructure network that solves the challenge of data querying in their applications. It provides its service as an API. Its products are the Graph Explorer, Subgraph Studio, and Hosted Service. The latter service was discontinued earlier this year as the platform embraced a distributed model.
The Graph’s subgraphs are available in some of the leading blockchain networks like Ethereum, BNB Chain, and Solana. Earlier this month, the developers announced that the platform has been integrated in Polygon, the biggest layer-2 network in the world.
Find out how to invest in The Graph.
The Graph token price has risen because of the ongoing demand for its subgraphs despite the crypto crash. According to the Graph Explorer, the amount of query fees paid has been in an upward trend in the past few months. The amount peaked at 110k GRT on December 2.
GRT price also rose as investors wait for its second-year birthday event scheduled for December 17th. As part of these celebrations, the network will host meetups with members at Amsterdam, Buenos Aires, Lagos, and Singapore. While no major news is expected from these celebrations, investors seem to be buying because of the hype.
Still, the biggest challenge for The Graph holders is that we are still in a bear market. And unless signs of a rebound emerge, it will be too early to predict a comeback.
The Graph token price prediction
The four-hour chart shows that the GRT price has been in a slow bullish trend in the past few weeks. In this period, the coin has risen above the important resistance level at $0.066. This is an important level because it is along the neckline of the inverted head and shoulders (H&S) pattern.
In price action analysis, this pattern is usually a bullish sign. However, volume remains subdued. It has also moved above the 25-day and 50-day moving averages. Therefore, there is a likelihood that the token will have a bullish breakout in the near term.
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