Kusama Price Up By 5.30% – Time to Buy KSM?

The Kusama blockchain has been one of the top-performers after averaging a spike of 20% since this month began. 

With so much potential in its ability to serve as a launchpad for more daring blockchain features, Kusama is set to play several crucial roles in the continued success of its conservative sister network Polkadot.

This article explores the technical and fundamental strength of the digital asset as more investors rush to buy KSM.

KSM: Rallying With The Broader Crypto Market

Kusama may not be a household name like Bitcoin and Ethereum, but the blockchain protocol is in a class of its own. Meant to be a testbed for heterogeneous twin Polkadot, the Kusama blockchain has slowly begun to gain major traction since its parachain auctions began in the second half of this year.

This development has seen it shoot up in value, with KSM at press time trading at $480.7 and up 5.30% in a largely bullish crypto market. Remarkable growth is obvious in the seven-day chart as its weekly gains stand at 27.64%, reflecting growing market confidence.

With so much value pumping in, KSM has seen its 24-hour trading volume also shoot through the roof. KSM is up 97.26%, with over $268 million worth of digital tokens changing hands at present.

Likewise, its market cap has seen a modest increase of just 2.95% and sits at $4 billion. The Kusama protocol has been one of the standout digital assets in a market largely dominated by Bitcoin.

Year-to-date (YTD), the canary network has posted increases above 589.17% and hit a record value of $621.71 on May 18, 2021. Despite a strong market correction, KSM has only shed 22.5% of its gains in the past six months.

With strong fundamentals, Kusama is seen by many as a viable blockchain project with huge growth potential. This makes it ideal to buy KSM before the price spikes up to a higher figure.

KSM Technical And Fundamental Analysis

KSM is showing strong bullish potential at the moment like most crypto projects in the nascent space. The digital asset is soaring above the 20-day moving average (MA) support price of $408.10. The 200-day MA support price of $334.9 shows that KSM is making a strong push back to its previous all-time high (ATH) of $621 in the long term. 

With growing interest in the Polkadot ecosystem, Kusama will benefit from more investment inflows, indicating a good time to buy KSM.

The 14-day relative strength index (RSI) figure of 67.59 reveals that KSM is trading dangerously close to the overbought region and may surge to that level in the coming days. 

The moving average convergence and divergence (MACD) still point to a more bullish streak in the long run. The oscillator’s buy signal (represented by the green trendline) is soaring above the orange trendline, further confirming the premise of KSM becoming a major financial investment in the near future.

Kusama’s fundamental growth can be closely linked to its ongoing parachain auctions. With several protocols seeking to outbid one another for a spot, KSM has seen its value rise. In a recent release, Composable Finance won the 13th parachain slot for its Picasso network.

The popular indexing protocol The Graph also recently made its debut on Kusama-based protocol Moonriver. This expansion is expected to aid developers to build, publish and use subgraphs in the Kusama ecosystem.

 

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