Elrond EGLD token symbol cryptocurrency in center of spiral of glowing dots on dark background. Cryptocurrency coin logo icon for banner or news. Vector illustration.
The Elrond price spiked on Thursday as demand for the coin jumped. The EGLD price rose by more than 20% and is trading at $208, which is the highest it has been since April 18. The token is just 18% below its all-time high (ATH).
Elrond is a fast-growing blockchain network that seeks to serve a similar industry like Ethereum. Simply said, the network helps developers build scalable and decentralized applications. The network differs from Ethereum in several aspects, such as the fact that it uses a proof-of-stake mechanism.
It also uses the concept of sharding that enables shard computation and reorganizing based on necessity and the number of active network nodes. These characteristics make it highly effective and blazingly faster than Ethereum.
There is no precise reason why Elrond price is rising today. But, in my opinion, I believe that it is rallying in line with the overall performance of Ethereum-killers. For example, Solana has jumped by more than 20% while other protocols like Hedera Hashgraph and Near Protocol have also surged. Also, it has rallied as investors look for the next big thing in crypto.
The daily chart shows that the EGLD price has been on a strong bullish trend in the past few weeks. Precisely, it has risen by almost 300% from its lowest level in June this year. Along the way, the coin has moved above the neckline of the inverted head and shoulders pattern. It has also moved slightly above the 25-day and 50-day exponential moving averages (EMA).
Therefore, the path of the least resistance for the Elrond price is to the upside, with the next key level to watch being at its all-time high of $245. A move above that level will bring the resistance at $300 into view.