Across the entire crypto-market, Algorand [ALGO] was one of those that failed to register a massive uptick in July. ALGO relatively underperformed compared to protocols like Cardano [ADA] and Solana [SOL].
As per CoinMarketCapALGO’s highest price level was $0.37, after a low of $0.30 on 13 July.
Now, a report by Kraken Intelligence has revealed that ALGO’s lows were beyond price performance. According to a report by the digital asset exchange, ALGO lagged behind the wider cryptocurrency cohort in terms of dominance.
Dissecting the details
Kraken found that the larger crypto-market’s capitalization surged by over $210 billion in July. However, ALGO’s contribution to the growth was as minimal as anyone could have imagined. ALGO was also ranked fourth behind Dogecoin [DOGE]Cardano [ADA]etc Bitcoin [BTC] as far as the market cap’s Month-on-Month (MoM) losses were concerned.
Furthermore, Santiment date revealed that ALGO’s June market cap was as high as $2.89 billion (June 6). However, the same metric only hit a $2.61 billion high on 19 July.
Besides the fall in market cap, ALGO’s Year-to-Date (YTD) was a -88% volume decrease. Interestingly, it could not produce an average volume uptick in July as it lost 37%. The Kraken report cited a few reasons that could have contributed to the losses. A notable one was the departure of its former CEO Steven Kokinos.
Additionally, active addresses across many cryptocurrencies increased in July. On the other hand, ALGO recorded a -25% decline in the same month. Drops were also seen in on-chain transfer volume and circulating supply growth, both of which led to questions if the ALGO ecosystem still has a future.
Even now, the coin is still down 89.91% from its All-time High (ATH). However, ALGO’s poor July performance was an all-rounder, with the only positive being the 14% transaction count uptick at one point.
ALGO has also failed to replace its CEO since he stepped down—meaning the team had been moving with no clear-cut direction after appointing the COO to act in the CEO’s capacity. The state of things could have also impacted ALGO’s inability to break its resistance sooner.
In light of its current position and no visible development in sight, ALGO could risk being sidelined by investors. It may seem that the signs are already there.
In fact, a look at Santiment revealed that ALGO’s volume has not reached anywhere near its June levels. Similarly, its social dominance has dwindled drastically too.
This lack of positives from the ecosystem could lead SOMETHING further down the crypto-market ranks. However, investors could stay hopeful of a change in the right direction.
At press time, ALGO had gained by 2.88%, claiming an uptick to $0.35.