Protocol upgrades and Google Cloud integration lift EOS price 245% in 2021

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On April 16 EOS worth soared to a brand new excessive at $8.49 and the present market construction for the altcoin suggests there’s room for additional upside.

EOS initially made headlines throughout the ICO craze of 2018 when its mum or dad firm Block.one raised a file $4 billion in funding to create the EOSIO software program and previously three months, the altcoin has practically tripled in worth. 

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Information from Cointelegraph Markets and TradingView exhibits that since buying and selling at a low of $2.43 on Jan. 27, the worth of EOS has climbed 245% to set a multi-year excessive of $8.47 on April 16.

EOS/USDT 4-hour chart. Supply: TradingView

Three causes for the rally within the worth of EOS since late January embody the launch of the brand new EOS PowerUp mannequin, the discharge of the brand new EOSIO testnet by Block.one and the announcement of a collaboration with Google Cloud to advance the mixing of distributed ledger expertise with cloud computing and storage.

Protocol enhancements energy up’ worth momentum

Momentum for the EOS token started to select up in earnest in January as approached reaching consensus on integrating the brand new EOS PowerUp Mannequin which is designed to enhance useful resource allocation.

The PowerUp Mannequin is the EOS community’s resolution to the problem of transaction charges, which is at present one of many main points going through the Ethereum (ETH) community.

Underneath the brand new mannequin, customers have the selection of paying a small charge to energy up their account for twenty-four hours with CPU and NET bandwidth that can be utilized to satisfy transaction wants or they’ll deposit their unused tokens to obtain a share of the ability up charges generated by the EOS public blockchain.

As community congestion will increase as international adoption rises, networks that provide acceptable options to excessive transaction prices and latency issues are prone to entice extra customers searching for a easy consumer expertise.

New testnet ignites the rally

One of the vital important sources of momentum for EOS and its neighborhood got here on April 1 when Block.one introduced the discharge of its official EOSIO Testnet.

In keeping with the mission’s web site, among the options included within the new testnet embody a multi-node distributed community, one-click blockchain account creation, an embedded EOSIO explorer and the inclusion of snapshots that allow the fast syncing of EOSIO testnet nodes to make sure excessive uptime.

The brand new testnet launch is likely one of the most important releases to come back out of Block.one for the reason that protocol was initially launched in 2018 and supplied a lift of confidence for neighborhood members who have been involved in regards to the January 2021 departure of Block.one chief technical officer and EOS creator Dan Larimer.

Momentum for the protocol was percolating throughout the month of March as a consequence of an ongoing hackathon that led as much as the shock launch of the testnet on April 1 and ignited a big worth rally over the subsequent two weeks.

Google Cloud collaboration provides rocket gasoline to the rally

EOS bought an added increase to cost momentum on April 2 when Google Cloud posted an article discussing its collaboration with EOSIO and the way it’s serving to revolutionize the mixing of distributed ledger expertise with confidential cloud computing.

Google Cloud was additionally one of many foremost companions within the aforementioned hackathon and had the goal of serving to “construct purposes that redefine the way forward for blockchain and cloud-based programs” which helps to mix the clear nature of blockchain with the velocity and safety supplied by cloud options.

Having such an energetic relationship with a platform beneath the Google umbrella has given EOSIO elevated validity and the submitting of an EOS Grayscale belief in late January signifies that institutional traders now have a better technique to achieve entry to this rising ecosystem.

The views and opinions expressed listed below are solely these of the writer and don’t essentially mirror the views of Cointelegraph.com. Each funding and buying and selling transfer entails threat, you must conduct your personal analysis when making a choice.