Why Cosmos, EOS, and Chilliz are thought to be the best performing cryptos, even in a bear market
In August, after a good start, the value of cryptocurrencies dropped by a considerable amount. But the price of some other cryptocurrencies went up.
Prices started to go down around the middle of July after the Federal Reserve released the minutes from a meeting that took place in July. From these minutes, it was clear that the Federal Reserve Board would keep fighting inflation in a hard way.
Based on market capitalization, Bitcoin, the most valuable cryptocurrency, dropped about 13% over the month, while ether dropped almost 20%. Both drops were there for a whole month. On the other hand, the data show that not all cryptocurrencies did badly.
This is probably because some of them were in good news stories. Price increases show how even when the market is bad, each project has the freedom to grow and attract investors with big improvements.
Why the value of some cryptocurrencies hasn’t dropped
In the last month, the most popular token was called Chiliz, and it was given out by Socios.com, a sports entertainment site that uses blockchain. Based on data from CoinMarketCap, the value of the native CHZ token went up by 75.8% in August. This happened because the government gave the platform permission to work in Italy.
As a whole, the cryptocurrency market did not do as well as Cosmos’ ATOM token, whose value went up by 14.5%. The price went up when the project announced that a new version of its tokenomics would be shown at a conference in Medellin, Colombia, at the end of September.
In the month before it was announced that EOSIO-based blockchains would use Antelope as the enabling protocol, the price of an EOS token went up by 3.6%. The news that Antelope would be used as the enabling protocol made this happen. The price of decred went up by 5.1% during this time.
Katie Talati, who is in charge of research at the asset management company Arca and has said things like “nice to see in terms of asset distribution,” says that investors should be happy when news events cause price spikes.
Talati said, “It’s interesting because, technically speaking, in a bear market, most of the price changes we see are caused by changes in tokenomics.” He was talking about how the change to Cosmos’ tokenomics led to the price of its token going up.
This was a reference to the fact that the price of Cosmos’ token went up after the redesign. Talati was talking about how almost any statement could make people happy in a bull market. Bitlq, which is now one of the the top trading platforms, has made it possible for anybody to trade in cryptocurrencies.
When bad news comes out, the market responds by lowering prices
But the bad news was the main reason why the prices of other well-known cryptocurrencies went down. Because of an exploit on the Solana platform that cost $6 million and led to the theft of tokens from more than 9,000 hot wallets at the beginning of the month, the price of SOL dropped by 25.7% in August. These two things both led to this.
Talati says she will pay close attention to the Merge. This big software update will be put in place on the Ethereum blockchain, as well as crypto conferences in September, like Singapore Blockchain Week and the Ethereum Developer Conference, to find news and events that might affect the prices of other cryptocurrencies.
The Merge is a major update to software that will be put in place on the Ethereum blockchain. Talati will also be watching the Merge closely.
She said, “I can’t wait to see what happens at Ethereum Devcon after the Merge.” This showed how much she was looking forward to the event. She was talking about the upcoming conference on blockchain technology. You said, “Maybe we’ll find out more about the Ethereum road map in the next year,” and I agree with you.