The price of The Graph (GRT), a project that facilitates decentralized access to blockchain data, surged by over 60% in the past week. This impressive rally outperforms most major cryptocurrencies and aligns perfectly with the increasing interest in artificial intelligence (AI) in the crypto market.
The GRT has seen a five-day consecutive increase, reaching its highest level since May 2022. From its lowest point in 2023, it has surged by over 163%. The demand for its network has grown significantly in recent months, leading to an increase in the coin’s value.
As a key infrastructure player in the AI space, The Graph has garnered significant attention. Let’s examine the key factors that have contributed to the recent gains of the company and explore its future prospects.
With the wave of AI enthusiasm, the cryptocurrency markets are witnessing an uptick in investments in related projects. Progress in technology and anticipated real-world applications are fueling this trend, and The Graph is directly benefiting from this excitement.
Its decentralized indexing protocol provides simplified access to critical blockchain data essential for AI development and analysis. This unique value proposition is appealing to investors looking to engage in the burgeoning AI sector.
To further boost this positive momentum, The Graph has formed partnerships with industry giants such as Coinbase and AAVE. Integration into established platforms attracts a larger audience and increases the demand for GRT tokens. These partnerships not only expand The Graph’s reach but also demonstrate its potential for real-world use cases.
Meanwhile, a tweet from The Graph’s official account on the X platform (formerly known as Twitter) highlighted an increase in query volume and advancements in Layer-2 transactions. The improved infrastructure of the network, underscored by over 1,500 subgraphs and the introduction of a new indexer, likely strengthened investors’ optimism. The debut of the New Era Roadmap along with the implementation of a free query plan further bolstered this sentiment.
In the fourth quarter of 2023, the Graph ecosystem released several crucial updates that shaped the future of decentralized data and continued to evolve the protocol to meet more data requests and Web3 builders in 2024.
Notable analysts provide insights into The Graph’s future potential. Ryan Watkins of Messari predicts that GRT could reach $1 by the end of 2024, citing the growing demand for decentralized data solutions and The Graph’s strong fundamentals. This optimistic forecast reflects his confidence in the project’s long-term development.
However, technical analysis presents a nuanced picture. The recent surge has led GRT/USD on the daily chart into an uptrend, with the 50-day moving average acting as support. This indicator points to ongoing buying pressure and the potential for further price increases.
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