Despite recent declines in ETH and BTC, the cryptocurrency market is active, with Kaspa’s KAS token surging 26% and futures open interest rising 58%.
Futures open interest saw an even more significant spike in addition to the increase.
Just as the quiet surface of a pond might conceal the extent of the dynamic ecology underneath, there is always activity in some corner of the cryptocurrency market, even when the headline stats don’t indicate anything is happening.
That has been the situation lately. A bleak image of the cryptocurrency market has been painted since last Friday due to the adverse price action in ether (ETH) and bitcoin (BTC), which has caused the total market value of digital assets to fall by 3.4% to $2.22 trillion.
However, that drop hides the 26% increase in the token on the Kaspa network. According to data provider CoinGecko, the coin, currently ranked 27th in market value, has surpassed 18 cents and is getting close to the record high of $0.196 set earlier this month. Regarding market value, this places KAS as the currency with the highest performance among the top 100 digital assets.
The choice of bitcoin miner Marathon Digital (MARA) to expand its revenue stream by including KAS mining led to the outperformance. Since September, the business claims to have mined 93 million KAS coins.
The proof-of-work blockchain uses the GHOSTDAG (Greedy Heaviest Observed Sub-Tree Directed Acyclic Graph) to improve performance and scalability.
To strengthen the security and resilience of the blockchain, GHOSTDAG gives priority not just to the longest chain but also to additional blocks that are referenced by other blocks in the network. The transaction throughput of the network is slowed down by traditional blockchains’ tendency to choose the longest chain to attain ultimate consistency.
According to data source Coinglass, Kaspa’s weekly gain is accompanied by a 58% increase in futures open interest to $65 million, with favorable funding rates. This indicates a fresh wave of bullish capital entering the market and supports the price increase.
