FTM, the cryptocurrency of the Fantom network of dapps and smart contracts, has grown by 11,2% in the last week.
Fantom (FTM) price and trading volume have seen significant growth over the past 7 days. According to data from cryptocurrency price monitoring platform CoinMarketCap, FTM’s value has grown by over 11% on the week, while its trading volume has increased by almost 27% over the past 24 hours.
According to analysts, investors are renewing their interest in Fantom (FTM) as rumors grow about the possible return of Andre Cronje, one of the most prolific developers in the decentralized finance ecosystem, known as the “godfather of DeFi” for his great contributions to this crypto sector.
This has pushed the FTM cryptocurrency out of its low volatility zone, where it had been hovering around $0,35 per unit on average for over a week.
At the time of writing this article, the price of FTM has grown to $ 0,44 dollars per token, while its trading volume exceeds $746,3 million per day. Fantom (FTM) market cap is over $1.122 billion, currently.
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What is Fantom?
Fantom is a decentralized smart contract network based on distributed ledger technology or DLT, which uses a DAG or directed acyclic graph to offer a fast and accessible DeFi ecosystem for everyone. Despite not using a blockchain, the decentralized contracts and applications developed on Fantom are highly scalable, flexible and secure, so the network offers a high level of performance and efficient processing compared to other blockchains.
This decentralized network was born as an alternative to Ethereum, which is currently the leading blockchain for the construction and development of DApps, DeFi, NFTs and other projects, but which fails its users due to its current low level of scalability.
While Fantom can process about 300.000 transactions per second (TPS), Ethereum processes about 15-20 TPS on average.
Has Andre Cronje returned to the DeFi ecosystem?
Last week, Yearn Finance developer Andre Cronje reportedly pledged to develop an optimization proposal focused on the Fantom network’s native stablecoin, fUSD, which has been depegged from its peg to the dollar.
Meanwhile, the crypto address Cronje’s FTM address shows a balance of over 127 million tokens. According to on-chain data, almost 100 million of these tokens were added to this address recently.
The DeFi developer’s recent moves regarding Fantom hint at his possible return to the project, according to crypto journalist Colin Wu. Meanwhile, the @fantom_daily account seems to confirm the news, writing that “FTM comes on the heels of news of Andre Cronje’s return.”
In early March, Cronje’s collaborator Anton Nell announced that the two would be “permanently” withdrawing from the blockchain ecosystem and that some of the websites related to the decentralized projects they were working on would be shut down.
Rumors of a possible Cronje comeback also appear to benefit the unpegged stablecoin FUSD, native to the Fantom network, which is trading around $0,77, according to CoinMarketCap.
Analysts predict a possible setback in FTM price
On the other hand, although the price of Fantom (FTM) has gained significant growth this week and current purchase volumes demonstrate that there is interest among investors in this cryptocurrency, analysts do not rule out a potential setback in its price in the short term.
In addition to speculation about Cronje’s return, the network’s current advancements and growing usage and adoption may also be influencing FTM’s price. At the end of March, Fantom developers launched a $480 million grant program, to fuel its evolution and innovation.
IMPORTANT: The content of this article is for informational purposes only and, in no case, what is written here should be taken as investment advice or recommendations. Bit2Me News reminds you that before making any investment you should educate yourself and know where you invest your money, as well as the pros and cons of the system. We separate ourselves from the actions and consequences that ignorance may entail. If you decide to invest in this or another asset class, you are solely responsible for the consequences that your decisions and actions may have.
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