Decentralized and open-source computing platform Akash Network has captured significant attention in the cryptocurrency market as its native token, AKT, has outperformed the top 100 cryptocurrencies with a 2400% price increase year-to-date.
While Bitcoin (BTC) and other major cryptocurrencies experience price corrections, the Akash Network and its native token are surging at a remarkable pace. To comprehend the driving factors behind this uptrend, it is crucial to delve deeper into what the Akash Network represents and its underlying technology.
What Is The Akash Network?
The Akash Network, founded in March 2018 by Overclock Labs, emerged as a distributed cloud computing marketplace with the objective of decentralizing cloud computing. Originally focused on building a traditional multi-cloud deployment platform, Overclock Labs decided to launch Akash.
According to Messari, the network facilitates the connection between server owners in need of computing power to host applications and users offering cloud computing resources through the Akash Marketplace, where computing resources are bought and sold.
At the core of the Akash Network lies its blockchain infrastructure known as Akash, built using the Cosmos SDK and based on the Tendermint consensus mechanism.
Moving forward, the focus for AKT is to sustain the previous week’s high of $5.095 as a crucial level of support. By maintaining this level, the token aims to consolidate its recent gains and solidify its position in the market.
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In summary, the price increase of AKT can be attributed to several factors. The success of the Akash Network’s underlying technology and its value proposition in the decentralized cloud computing space contribute to the positive sentiment surrounding the token. As the network gains recognition and attracts users, demand for AKT may increase, resulting in upward pressure on the price.
In addition, the successful break of the diagonal trend line represents a potential shift in market dynamics as investors may take this as a bullish signal, leading to increased buying activity and further price appreciation.
