Join our Telegram group
EOS spikes up by 15% post the democratic use of $35 Million Savings fund
EOS is going through a wave of positive price increase owing to its decision to resort to a voting process to best use its newly gathered savings account.
Amassing a total of $35million worth of tokens, the savings account called EOSIO.savings, formed along with the EOS Blockchain but with no clear indication of the long-term purpose of the gathered funds. The EOS team, adopting the democratic option, have announced that a voting system will be used to determine the use of said funds.
This announcement was met with a positive reaction from the EOS community but it still remains unclear as to what will be the purpose of the massive bounty.
One quantifiable positive reaction from the announcement is the effect it had on the price of EOS. A 10 percent price increase was achieved, EOS is now currently trading at $6.21 with a total market capitalization of $5.40billion. It has seen a constant price increase since the conclusion of its correction period where it was languishing at the bottom with the market price of $4.17 as on August 14. Strong positive speculation on Binance has also been observed as determined from the EOS/USD buying orders.
Continuing further on speculation, the current market trends indicate that following the crossing of the critical resistance point at $5.65, EOS looks set to close at a high in the coming days. Fearing the worst, a negative U-Turn would see the cryptocurrency fall to $5.00. Some advocates of the digital currency are predicting an end of the year price of around $37 and a five-year price of $143.
EOS is by no means alone in this wave of momentum affecting the cryptocurrency market, the premier currency, Bitcoin saw a massive upsurge in its price, breaking through the $7000 mark earlier this week, with a 2-percentage gain overnight.
See also: EOS new update to prevent RAM exploits
Image via Shutterstock & CoinMarketCap