One exception being HyperCash (HC), a project developing an interoperable solution for currently existing blockchains, which has surged around 54% in the last 24 hours to $1.64, giving the coin a $71.3 million market cap.
While this price action is notable, the underlying cause for the increase is not currently clear. HyperCash did recently announce a new governance system where users can propose and vote on ideas to advance the project. However, this is something that is fairly common among these types of projects, so it is likely not the main cause of the massive price surge.
Users can now propose ideas, and discuss, as well as vote on projects submitted by the HyperCash community!https://t.co/tMjjf6UfgZ
— H.cash (@HcashOfficial) January 11, 2019
What’s more likely is that HC is experiencing a technical breakout fueled by investors looking to earn 2017-like gains. Today’s price action comes on the back of more than $42 million in trading volume, an unusually high volume for HyperCash that has it in the top-20 cryptocurrencies in terms of volume.
The coin has been on a steady upswing since bottoming around $0.60 in early December. Today’s breakout saw the coin move from $1.06 to over $2.00 before pulling back. The coin was trading in the $1.80-$2.00 range as recently as November.
Given this price action, it certainly would not be surprising to see a significant retrace as investors look to close out their positions and take profits.
Disclaimer: This article’s author has cryptocurrency holdings that can be tracked here. This article is for informational purposes only and should not be taken as investment advice. Always conduct your own due diligence before making investments.