The market has in the past week remained green for most if not all coins and tokens trading against Bitcoin after the pioneer cryptocurrency increased by 24% in an hour to soar above the $8000 mark. Zilliqa (ZIL) on its part though began its bull run back in March after its listing on Binance and announcement of En Hui Ong, as the head of Business Development in the company.
The Fall and Rise of ZIL
The coin was first listed in late January this year trading at an all-time high of $0.13 but saw its price fall by 76% during the early February cryptocurrency bloodbath. Other factors were in play too as the token fell from the top 50 ranking on Coinmarketcap to rank at position 65. The monthly competition by Binance cryptocurrency exchange, ‘Community coin of the month’ in March had a lot to play in influencing the fall and rise of ZIL during the month too.
As the competition wore on, it seemed that only two coins were in the race to be listed on one of the largest cryptocurrency exchanges in the world, Elastos (ELA) and WePower (WPR). There was stiff competition for a distant third, where both ZIL and Dentacoin (DENT) were in contention, but ZIL took third spot. During the voting period, investors who lost hope in ZIL being listed on the exchange sold their tokens gradually through the period.
Binance then announced disqualification of the two top coins earning Zilliqa (ZIL) a place on the exchange. The price soon skyrocketed from $0.04 to $0.06 in a day, signifying a 50% increase.
- Binance influence on Zilliqa
Getting listed on one of the largest cryptocurrency exchanges will surely have a positive effect in the numbers of any coin. On this point, Zilliqa benefits even more given the circumstances that the token got listed on the exchange. In addition the token is pretty much new in the market.
Currently, Binance handles close to half of the daily volume traded on the coin. Since listing a month ago, the coin has witnessed a massive increase in the volume traded. In the last 24 hours, ZIL traded $31,500,000 worth of ZIL with Binance having completed 47.38% of the total volume. BTC/ ZIL pair is still the most traded pair on the exchange with trades brazing past the $10,000,000 mark on Monday.
- Release of Test Net V.1.0
Zilliqa (ZIL) is a blockchain aiming at solving inadequacies of scalability among blockchains. Using the sharding technology, also used by Visa, MasterCard and other international payment systems, ZIL aims at increasing throughput to match the and increase linearly with the network size. Simply, increase the number of transactions on your network.
Late last month the company announced the release of the Test Net V.1.0, nicknamed Red Prawn. Red Prawn will be able to carry out roughly 1000tx/second, equivalent to 4 shards and will run on the AWS. The company hopes that the test net will increase and maintain stability on high throughput, new nodes will be able to enter easily on the protocol and community members will have distributed nodes for the test net.
Given the recent green charts in the industry, such huge steps for a coin only launched in January, a $1 valuation by the end of Q2 is in no way an over estimation in my opinion. However, the market is risky enough for a shock on anyone’s plate.