Shift to DeFi and cross-chain integration back Elrond’s (EGLD) 700% rally

189
SHARES
1.5k
VIEWS


Elrond (EGLD) price has increased by 700% since Feb. 1 as new partnerships and protocol upgrades bolster investor confidence in the project. Elrond is a blockchain protocol designed to offer fast transaction speeds through the implementation of sharding for use with dapps, enterprise use cases and the new internet economy. 

The most recent price surge followed the release of the Maiar wallet which offers a variety of user-focused features including the ability to make social payments through ‘herotags’. The upgrade also allows EGLD to stake their tokens to earn rewards.

According to the team, the Maiar wallet operates on an internet-scale blockchain channel of the network to offer streamline payment channels for users. The wallet will allow users to make payments and send money on an interface similar to sending direct messages to phone contacts and offers high-end security and a gaming experience.

Data from Cointelegraph Markets and TradingView shows that EGLD rose from $60.55 on Feb. 1 to a new high of $216.98 on Feb. 9.

EGLD/USDT daily chart. Source: TradingView

The upward trend in Elrond price became noticeable in December 2020 as Bitcoin was just breaking above $24,000 for the first time and an eToro listing brought added attention to EGLD.

The price continued to surge after the team announced that the Elrond Network would be interoperable with Binance Smart Chain on Jan. 25. This upgrade allows for cross-chain participation in the DeFi opportunities offered on different networks.

Elrond’s debut to DeFi was followed by a sharp uptick in tweet volume and this metric spiked to an all-time high on Feb. 8 when the Maiar wallet reached 100,000 users and over 2 million transactions on the Elrond network.

EGLD price vs. Tweet volume. Source: TheTIE

Aside from the integration with Binance Chain, Elrond has also established multiple partnerships with big players in the space. One notable partnership with Razor Network (RAZOR), a decentralized oracle provider, introduces scalable data streams and EGLD was also recently listed on Coinbase custody.

While EGLD price is up 738% since the start of 2020, the project’s entry to DeFi and new partnerships have set a strong foundation for future growth. The growing interest in cryptocurrencies also strengthens the use case for Elrond and also increases the likelihood that the altcoin will see further price appreciation in the future.

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.