After the recent cryptocurrency bull run, which saw the total cryptocurrency market cap soar back above $400 billion in an impressive rally. The market cap has since had a slight pull back below the $400 milli0on mark but there have been some stand out performers over the course of the last two weeks, but by far the most impressive run was from EOS. But why has the EOS price increased so much?
EOS price increase.
EOS opened at just $6 on 11, April 2018 according to coinmarketcap.com, after an impressive two weeks the EOS price spiked at $15.54 on 25, April 2018. While this was during a bull run which saw most of the major cryptocurrencies increase, EOS still continued to climb while there was a slight pull back on 24/25, April 2018.
The above table from coinmarketcap.com show the EOS price has increase 150% during this recent bull run, the biggest gainer by a long way. EOS has since moved up in the rankings and is now the 5th largest crpytocurrency by market cap. But why has the EOS price increased so much?
Why has the EOS price increased so much?
There are a number of factors which may have contributed to these astronomical gains in such a short space of time.
EOS trading volume
On the above chart we can see trading volume is well above 19 billion in just 15 days, this is a 320% increase from the previous 15 day period with volume below 6 billion. This shows that there has been some huge money moving into EOS and there may well be some big players involved.
It was rumoured that the initial price surge was due to the anticipated eosDAC airdrop, which occurred on 15, April 2018. However, contrary to what the general community thought would happen, EOS continued to rally following on from this airdrop.
EOS mainnet launch
Finally, and most likely the most notable reason is the fact the highly anticipated EOS mainnet launch is a lot closer than people may realise. The EOS project is still in an ongoing token sale which started in June 2017. The longest ICO in history. In the grand scheme of things we are almost there with the EOS mainnet and this could be driving the price up as investors are excited about the official launch of the EOS project.
EOS token sale
For those of whom aren’t aware. EOS is still an ongoing ICO, they have been running the longest ICO in history, currently on day 312/350 at the time of writing. The EOS token sale is different to any other ICO, each day there is a fixed umber of EOS tokens to be distributed each day. Any investments on that day go into a pot and the EOS tokens are distributed respectively to each investor that day.
Currently the EOS tokens are an ERC20 token and don’t have any use. The tokens will be swapped for EOS tokens on their own blockchain once the mainnet is launched. So current EOS tokens effectively ensure you will receive the same number of EOS tokens once they launch their finished product.