IOTA is one of the top performing cryptocurrencies on the market at the moment as it has managed to grow by about a quarter of its value in just the first two days of May. The currency has been on an upward trend throughout much of April as the currency goes well over the $1 range. But the currency has moved past the $2 mark as the month started. Part of this is coming as IOTA is working with a special ecosystem platform for its use.
IOTA ended trading on Wednesday at a value of about $2.35. This is more than twice the $1.05 rate that the currency had been going for a month earlier.
The currency has also moved forward to be one of the ten-largest cryptocurrencies in market cap. The currency’s market cap has risen to $6.5 billion. This makes it the ninth-largest currency based on this popular measurement.
What’s Behind the Rise?
A vital part of the growth of IOTA comes from the development of a new ecosystem platform. This platform was announced by the IOTA Foundation, the German group that operates the currency.
The new IOTA Ecosystem is being promoted as a solution where people can meet and collaborate with each other online. People can use the system to develop and build decentralized apps.
The Tangle data structure is a vital part of what makes IOTA work. This focuses on devices that are connected to each other through the Internet of Things. The goal of the ecosystem will be to help link more of these devices with each other in a universal blockchain. This includes working with a simple way for transferring funds from one party to the next without having to use any extra hardware in the process.
The move is being supported by many cryptocurrency exchanges. It also comes as the Internet of Things continues to grow with more items potentially being connected with one another through the system.
A Vital Rebound
Although IOTA is growing in value, the currency did not have much luck in recent time. The currency went above $5 around December while the market cap got to more than $10 billion. But as January came along, the currency dropped in value. Trading volume also fell to a fraction of its original value over time. The currency experienced a consistent downward trend and got to less than a dollar per token after a while.
The current trend for IOTA suggests that the currency is finally getting back to a positive path. The losses that IOTA had experienced were slowing down dramatically. The losses started to move back towards a positive trend as April started. The currency has since gone upward at a controlled rate.
The growth of IOTA in May marks the first major boost in its value. Although the currency continues to rise in value, it is still doing so gradually. Also, there have not been many sizeable changes in the currency’s trading volume. That volume is expected to rise as more people start to notice that IOTA is moving up in value.
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