ThorChain Price Up By 10.78% – Time To Buy RUNE?
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ThorChain’s increasing relevance in the decentralized finance (DeFi) scene has led several Investors to buy RUNE. RUNE is the native token of the ThorChain blockchain. ThorChain is a decentralized liquidity protocol that enables users to exchange digital assets across different networks without relinquishing custody of their digital assets.
Although the RUNE token saw its value slump last month, the asset’s price has rallied and is poised to climb even higher this month. In this article, we will explore what the ThorChain is all about and if this might be a great time to buy RUNE.
ThorChain: Easy To Use Decentralized Exchange (DEX) Platform
ThorChain is an automated market maker (AMM) where one can simply swap one token for another without relying on the source of liquidity or the order book.
ThorChain is built on Tendermint, a Byzantine Fault Tolerant (BFT) engine that also powers the Cosmos blockchain. It uses a proof-of-stake (PoS) consensus algorithm where many validators work together to verify and finalize blocks of transactions.
RUNE is the governance token of the ThorChain blockchain. It is also used for network fees settlement.
The ThorChain platform has no known founders. An anonymous group of developers developed it. The ThorChain community developed the website, and its code is fully open-sourced.
One of the major components of the ThorChain network is the Chaosnet. The Chaosnet was the first feature to go live on the ThorChain mainnet last year.
At first, it only enabled asset staking & swapping. However, Chaosnet’s cross-chain capability was fully launched in April this year. The multi-chain platform enables the cross-chain swaps between Bitcoin, Ethereum, Bitcoin Cash, Litecoin & Binance Chain networks.
Chaosnet is also designed to expose the ThorChain network to scrutiny and attack in order to prove that the security and economic incentives of the blockchain are correct.
RUNE’s Price Shows Unique Role In Crypto Space
The RUNE token currently ranks as one of the top 60 tokens in the world. It has a market cap of $2billion and is presently up by 10.78% in the last 24 hours.
Like several cryptocurrencies, the RUNE token hit its all-time high (ATH) price in May this year. The coin, which started the year trading at only $2.02, reached its ATH price of $21.26 in May. However, RUNE could not sustain the price, and so it plummeted soon after. This was during the crypto market crash that saw several assets decline in value.
RUNE has increased remarkably this past week. The token saw its value spike from $6.97 on August 13 to $7.18 on August 14. By August 15, it had increased to $8.50. At press time, the decentralized token is trading at $9.59 on the daily chart.
This recent rally is bound to increase market confidence and see investors want to buy RUNE.
RUNE Technical and Fundamental Analysis
On the trading chart, RUNE is on a bullish run, with the digital asset’s 20-day moving average (MA) at $9.384. Its long-term performance on the chart shows a similar trendline. The 200-day MA shows an increase in the price of RUNE at $9.389.
The cryptocurrency’s relative strength index (RSI) currently stands at 45.34, indicating that more people want to buy RUNE.
Market analysts are also bullish on the RUNE token. Popular forecast website Wallet Investor puts its one-year forecast at $17.241 and its five-year forecast at $50.135. This shows that RUNE is a token with growth potential.
Prediction site Digital Coin gives a similar bullish outlook. While the analyst predicts that RUNE would hit $16.81 next year, its five-year forecast is far lower than Wallet investor’s prediction. According to Digital Coin, RUNE would trade at $34.4 in the next five years.
Developers of the ThorChain have been working relentlessly on the blockchain following a series of exploits that occurred last month. This has led the developers to put more emphasis on security.
Investors would be delighted to know that ThorChain is striving to improve the security of its network and this may encourage them to buy RUNE. A new dedicated security team has been created to this effect. The team dubbed THORsec will work independently from the core development team. The team members will take part in internal code reviews and make big decisions on ThorChain’s security.
