The host of fashionable YouTube channel Coin Bureau says that Ethereum (ETH) could assist pull up the worth of Cosmos (ATOM) with its extremely anticipated improve.
In a brand new video replace, the pseudonymous analyst often called Man tells his 2.1 million subscribers that demand for ATOM has slumped dramatically in the course of the bear market and presently depends on two predominant drivers.
“What’s even scarier although is that there isn’t a lot occurring on the demand aspect of ATOM’s financial equation. As heartening as it’s that the entities behind the challenge have apparently stopped promoting, it additionally signifies that growth of demand drivers has slowed…
“It seems that ATOM’s strongest demand driver as of late is all the continued airdrops for up-and-coming Cosmos initiatives, together with Jae Kwon’s GNO Land, that are solely given to those that maintain or stake ATOM in taking part wallets akin to Keplr pockets.
A secondary demand driver for ATOM is as a bridge forex to all of the up-and-coming Cosmos ecosystems on extra normal use case blockchains akin to Evmos and Kava, which assist Ethereum good contracts and have seen lots of of hundreds of thousands of {dollars} in whole worth locked.”
The analyst says that ATOM nonetheless has the potential to thrive if its present pattern continues, and if Ethereum’s long-awaited transition to proof-of-stake consensus mechanism goes easily.
“Now, regardless that ATOM seems to have restricted demand drivers, they’ve been sufficient to push its worth greater over the previous few months and if this pattern continues, we may see ATOM pull near a 2x within the brief to medium time period.
This actually will depend on whether or not Ethereum’s upcoming transition to proof of stake later this month manages to trigger a broader crypto market rally.”
Cosmos is altering arms for $12.74 at time of writing, a 1.4% dip on the day.
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