Media

Why SONM (SNM) Is Up 1500% Today? Bitcoin and Altcoins Set To Close April’s Last Day on a Green Note

Traders were taken aback when Bitcoin (BTC) price reclaimed highs of $57,421 on April 30 as a surprise bullish end to the month. Majority of Altcoins were also in the green as of press time with XRP (+15.03%), Bitcoin Cash (BCH +13.32%), NEO (+10.58%), Fantom (FTM +28.79%), Verge (XVG +25.21%), Harmony (ONE, +18.56%) posting double-digit gains.

The month of April was a double-sided one for the cryptomarket, given the two market crashes which occurred in the month. The crypto market crash which occurred on April 22, may be blamed on the Biden Administration’s reported plan to tax capital gains at double the current rate on earnings above $1 million.

April: A Brief Recap

Spurring an earlier market crash were rumors that the U.S. Treasury was investigating financial institutions for illicit use of cryptocurrencies. Then, there were also comments about a drop in Bitcoin Hashrate following a Chinese mining accident.

April 30 also serves as an important date in USDCoin’s (USDC) short-spanned history as more tokens were printed on April 30 than at any time in the dollar-backed Stablecoin’s existence, with over $3 billion minted in one fell swoop.

The sudden influx of $3 billion worth of USDC into the cryptocurrency market coincides with a surging altcoin market, evidenced by Bitcoin’s (BTC) descent to its lowest market cap dominance since August 2018. In early January, Bitcoin’s dominance peaked at near 71% and has been on a steady decline since.

Ethereum’s market dominance has risen from 10.79% at the start of the year to 14.7% presently, whereas Bitcoin’s (BTC) market cap has dropped from nearly 70% to the 48.8% figure seen at the time of writing. While May advances, Bitcoin remains the main focus of most investors but Layer 2 solutions, governance, and DeFi are shaping up to be the driving forces of the next Altseason.

Why SONM (SNM) Is Up 1500% Today?

Analysts indicate that a sign of an upcoming Altcoin season is when obscure and lesser-known projects start to generate insane profits as traders try to jump on the rising price.

SNM/USD Daily Chart

On Apr. 30, SONM which provides cloud services based on distributed customer level hardware including PCs, mining equipment, and servers rallied by nearly 1500% after BINANCE relisting and token redenomination.

SONM is a Fog Computing Firm and also claims to be the First IPFS and NFT Gem. The main idea of fog computing is the use of a decentralized network formed from disparate individual computing devices, as opposed to a single data center structure. The SNM token is an internal currency on the Sony computing power marketplace.

In a bid to establish a hybrid ERC-20 and BEP-20 token metrics as well as to reduce the SONM gas fee, SONM announced a token upgrade plan on April 20. As part of its plans, the total supply of SNM tokens will be reduced from 444 million to 44.4 million, with a redenomination rate of 10:1. In April, SONM also announced a new product under development FogX, a decentralized exchange for Fog Mining Power NFT. This comes alongside announcements of SONM (SNM) BEP20 Live on PancakeSwap.

Boosting the recent rally on Apr. 30 was the news of Binance Completing SONM (SNM) Token Migration & Redenomination Plan. SONM (SNM) rallied from an opening price of $0.71 to highs of $1.66, rallying nearly 1500% on Binance. Investors should note that chances of correction exist in the near term as the sharp rally has pushed the RSI to overbought conditions.

Image Credit: Shutterstock

Votes: 
Share Content: 
 
X