Taraxa (TARA) price is up 800% this past week: Why is TARA pumping?

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Taraxa (TARA) price is up 800% this past week: Why is TARA pumping?

By Benson Toti - min read
  • Taraxa (TARA) has pumped more than 35% in the past 24 hours.
  • TARA, native to the BlockDAG-powered smart contracts platform, has outperformed by over 800% in the past one week.

Taraxa (TARA) is one of the trending cryptocurrencies today, with its price hitting intraday highs of $0.014 on Wednesday. 

The outperformance seen on the day dwarfed most altcoins in the top 500 by market cap list, with the intraday pump including over 35% in the past 24 hours.

What’s next for TARA price after monstrous gains?

Taraxa, an EVM-compatible smart contract platform that launched via an ICO in March 2021, traded to the all-time high of $0.07 that month. However, with the crypto winter, the blockDAG-based platform’s native token plummeted to near $0. It remained constrained around $0.001 until August 1 when it suddenly exploded.

TARA’s upside over the past week comes as the community responded to the potential of AI integration with an efficient BlockDAG-powered layer-1 blockchain. Usage and adoption across social analytics, dApps development and multi-layered IP licensing look to be aiding the positive outlook for the token.

A recent AMA by the team also looks to have shone some spotlight on the token.

According to data from CoinMarketCap, Taraxa’s daily trading volume rose nearly 200% to over $12.46 million as bulls tested the price level last seen in December 2021. The gains have TARA trading more than 800% up in the past week, with performance over the past 30 days accumulating to 1,021% at the time of writing.

TARA price chart. Source: TradingView

From a technical perspective, TARA is firmly in overbought territory as suggested by the overextended RSI on the weekly chart. This suggests immediate term profit-taking weakness is likely. The weekly MACD however shows there’s still room for further strengthening, which could allow for a move to $0.02.

The downside nonetheless presents the past of least resistance and a retreat to support at the $0.006 mark could open up a bearish flip to $0.002.