Algorand [ALGO] has rallied 24% in the past 24 hours, and its daily trading volume surged by nearly fivefold. The bullish move was a result of online chatter about quantum vulnerability, which came from the whitepaper published by Google Quantum AI.
In the paper, researchers from Google’s quantum computing technologies, the University of California, Berkeley, and the Ethereum Foundation provided estimates on the quantum threat to blockchains.
The paper cited Algorand as it –
Provides an example of real-world deployment of PQC on an otherwise quantum-vulnerable blockchain.
The live post-quantum deployments the chain exhibits, such as the Falcon digital signatures for smart contracts and state proofs, mean the chain is well-positioned for a post-quantum migration.
What impact did the news have on ALGO?
In short, a wildly bullish impact. Algorand had been trading within a range between $0.08 and $0.10 since the February market crash.
Over the past 48 hours, ALGO bulls managed to flip the $0.082 level to support once again and commenced a rally toward the range highs.
The whitepaper was released on Monday, the 30th of March, helping explain the timing of the rally.
At the time of writing, the CMF showed heavy capital flows accompanied by the sizeable move. The RSI did not yet fire overbought signals on the 1-day timeframe.
ALGO buyers caught between FOMO and opportunity
It was tempting to think that the quantum vulnerabilities paper was the catalyst needed for bulls to launch ALGO back into a bullish trend. In the short term, that has been the case. However, it is unclear if that can continue for days and weeks more.
The 3-month liquidation heatmap showed that a cluster of short liquidations above the $0.10 range high has been swept. Meanwhile, Bitcoin remained bearishly biased after its rejection at $76k and faced the $69k-$71k supply zone overhead.
ALGO holders can take profits and wait for the dust to settle. If the altcoin can hold on above $0.095 and climb back above $0.11, it would be a signal of a bullish continuation. The $0.11 level was a resistance from early February.
A drop below $0.095 would suggest the range formation was still respected.
Final Summary
- The quantum vulnerabilities paper cited Algorand for live post-quantum deployments.
- This bullish wave has run into a block of resistance around $0.10.
