Overall, the main short-term target for ALGO is the all-time high of $3.56 reached on 20 June 2019

Algorand (ALGO) defied the Bitcoin (BTC)-led market dip as it broke higher to reach its highest price level since June 2019. The past 24 hours have seen the cryptocurrency surge by over 30% against the US dollar, while its pair against BTC is also up 32%.

At the time of writing, ALGO is changing hands around $2.01, after flipping lower from multi-year highs of $2.22 as bulls battle increased selling pressure from traders seeking to lock in profits at current prices.

Despite the slowdown brought about by profit-taking deals, Algorand price’s upside momentum is still intact and a run to new levels is likely within the next few days.

ALGO price prediction

ALGO/USD daily chart. Source: TradingView

Algorand’s price looks set for further gains, but pinpointing an exact prediction for any cryptocurrency is difficult. The reason is down to the wild nature of the market that means volatility can shift momentum within a flash.

Nonetheless, strong performance as predicted by various analysts should see ALGO turn increased accumulation around $2 into new upside pressure. The daily RSI that is yet to hit the February 2021 peak suggests room for further growth. The rising curves of the moving averages are also indicative of a bullish continuation.

In the short term, the price looks primed for a run to the $3 and then $3.50 price levels. In case of a pause in the uptrend, a retest of $1.73 is possible. In that case, technical analyst Altcoin Sherpa identifies the $1.50 support level as a good entry point.

Why did ALGO price jump 50%?

On 8 September, the price of Algorand’s token ALGO went parabolic as buyers rallied over 50% to record the largest single-day gains since August 2019. This latest spike follows positive news that Algorand will work with Mexican crypto exchange Bitso and US-chartered bank Silvergate Bank to facilitate El Salvador’s Chivo wallet, the key to the country’s adoption of Bitcoin as legal tender.

The news adds to Algorand’s solid fundamentals and according to SkyBridge Capital founder Anthony Scaramucci, ALGO price is ready to run, doing in the autumn what Solana (SOL) did during the summer.

Pseudonymous crypto enthusiast Daren says Algorand has all the positives to make it a top target for investors — high utility, smart contracts and a “hotspot for NFTs“.

This post was originally published on Coinjournal.