Reshab AgarwalWe saw yet another blood bath in the crypto markets yesterday, even though not quite deadly as the May crash but still pretty bad. And while all this was happening, there were only two coins that managed to keep up their gains. First is Solana that dipped for a while but quickly recovered as well. And then we have Fetch.ai that increased by 60% while the entire market was in a frenzy. Yes, you heard that right 60% when the markets crashed.
About Fetch.ai
To understand why the token saw such huge gains, we should know what it does. As the name suggests, Fetch.ai is a decentralized ML network that learns and adapt to the infrastructure build around this network. This is one of a kind project, and I haven’t heard anyone else doing the same thing. The recent gains of the tokens have bought it to the limelight, and it started to see even more price jumps.
In fact, one of their projects sounds very interesting to me. They are building a new parking solution that helps drivers locate empty parking spots using AI and blockchain technology. All this suggests that the developers are working and the project is doing good.
As a result of this, the price of Fetch.ai jumped from a low of $0.658 on September 6 to $1.12 on 7th September. This means it almost doubled in under 24 hours. At the same time, this price increase was accompanied by a trading volume surge that stood at around $590 million.
The problem
If you talk in general, the project seems good and a potential investment. But the problem is that the coin still has a very low trading volume and a market cap that puts it below the top 100 coins. Another problem is the data that shows 63.03% of the tokens are held by the top 10 wallets, while more than 80% are held by the top 50. This shows that there is huge concentration, and if they plan to sell, the markets will plummet to the ground. Other than this, I cannot spot any problem with Fetch.ai.
What are your thoughts on the fact that Fetch.ai increased by 60% while Bitcoin and others were crashing? And do you think it is a good investment? Let us know in the comments below. Also, if you found our content informative, do like and share it with your friends.
Also Read: German asset manager plans to add Bitcoin to their funds.