The host of in style YouTube channel Coin Bureau says that Ethereum (ETH) might assist pull up the value of Cosmos (ATOM) with its extremely anticipated improve.
In a brand new video replace, the pseudonymous analyst often called Man tells his 2.1 million subscribers that demand for ATOM has slumped dramatically through the bear market and at present depends on two major drivers.
“What’s even scarier although is that there isn’t a lot taking place on the demand aspect of ATOM’s financial equation. As heartening as it’s that the entities behind the mission have apparently stopped promoting, it additionally signifies that improvement of demand drivers has slowed…
“It seems that ATOM’s strongest demand driver as of late is all the continuing airdrops for up-and-coming Cosmos initiatives, together with Jae Kwon’s GNO Land, that are solely given to those that maintain or stake ATOM in collaborating wallets similar to Keplr pockets.
A secondary demand driver for ATOM is as a bridge forex to all of the up-and-coming Cosmos ecosystems on extra basic use case blockchains similar to Evmos and Kava, which assist Ethereum sensible contracts and have seen a whole lot of hundreds of thousands of {dollars} in complete worth locked.”
The analyst says that ATOM nonetheless has the potential to thrive if its present pattern continues, and if Ethereum’s long-awaited transition to proof-of-stake consensus mechanism goes easily.
“Now, although ATOM seems to have restricted demand drivers, they’ve been sufficient to push its worth larger over the previous few months and if this pattern continues, we may see ATOM pull near a 2x within the quick to medium time period.
This actually is dependent upon whether or not Ethereum’s upcoming transition to proof of stake later this month manages to trigger a broader crypto market rally.”
Cosmos is altering fingers for $12.74 at time of writing, a 1.4% dip on the day.
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