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Algorand (ALGO) Surges 30% on Increased On-Chain Activity and Staking Interest
Coin WorldMonday, Jul 14, 2025 2:43 am ET
1min readAlgorand (ALGO) has experienced a significant price surge of over 30% in recent days, capturing the attention of investors and traders alike. Currently trading near $0.28, ALGO has made a substantial recovery from its June lows of $0.145. This bullish momentum is driven by a surge in on-chain activity, increasing staking interest, and a strong technical breakout pattern.
With the broader altcoin market showing signs of recovery, the current price action suggests a potential move toward the $0.30–$0.36 range if bullish conditions continue. One of the key drivers behind ALGO’s recent rally is the sharp increase in on-chain transactions, which jumped over 30% week-over-week, reaching nearly 5.8 million. Active wallet addresses also grew by 22%, indicating expanding user participation.
Additionally, the supply of USD Coin (USDC) on
rose by 77%, now standing at over $120 million. This increase reflects growing interest in the protocol’s decentralized finance (DeFi) ecosystem. These fundamental improvements demonstrate strong ecosystem usage, which is often a bullish signal for token valuation.The launch of ALGO staking on major exchanges such as Binance and Crypto.com has further bolstered investor confidence. By incentivizing long-term holding, staking has decreased the circulating supply and encouraged bullish speculation. Meanwhile, whale wallets have increased their holdings by roughly 5%, indicating growing institutional or high-net-worth interest. At the same time, retail investor dominance has declined, tightening the supply and providing additional price support.
Technically, ALGO has broken out of a double-bottom formation on its daily chart, which is typically a strong reversal signal. The breakout above the $0.24–$0.26 resistance zone suggests the next major price target could be between $0.30 and $0.36, with short-term support around $0.22. Momentum indicators like the Relative Strength Index (RSI) and MACD have flipped bullish, reinforcing the trend shift.
The daily chart shows the formation of a double-bottom pattern while the price attempted to rise above the neckline around $0.30 and $0.31. Although the price is facing some upward pressure, the On-Balance Volume (OBV) has displayed a bullish divergence, hinting towards strong buying activity. The RSI has entered the overbought zone, and as long as the levels remain within this zone, the ALGO price will continue to maintain an ascending consolidation.
Despite the strong fundamentals and bullish technical setup, investors should remain cautious. ALGO is still down significantly from its all-time high of $3.28, and broader crypto market sentiment will play a crucial role in determining whether this rally is sustainable or short-lived. However, if Algorand’s developer ecosystem continues to expand—especially through new integrations like Wormhole Native Token Transfers (NTT)—the altcoin could gain further traction in the DeFi and interoperability space, paving the way for a medium-term push toward $0.40 and beyond.
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