Over the past few days, the cryptocurrency project ICON (ICX) has exploded in value, blowing through every possible resistance level to go from around $0.17 per coin to a high of over $0.60.
The gains mean the coin is now up by an incredible 317% just this year alone, making it the most successful coin of 2020 so far. Other big winners this year include Bitcoin SV (BSV), Lisk (LSK), and Ethereum Classic (ETC) – each with almost 150% in gains.
What is really getting the internet talking is the apparent lack of reason behind this insane rally. As usual, talk of an impending “alt season” has begun circulating but it does little to explain an increase of over 300% for one specific coin.
To its credit, ICON is one of the biggest blockchain networks with a massive online following and a highly-active development team. It’s gaming and casino platform ICONBET.io has a massive player base and is one of the more popular blockchain-based gambling platforms available. However, volume on this platform alone is not likely to be responsible for such a huge increase in buying power for the coin.
Reports from ICX news site The Iconist suggests the rally is being driven by a release on ICONLOOP’s DID platform following “aggressive activity and PR work” from a team behind a new digital ID development project. The project is using the ICON network to create a new product called “MyID Alliance” which provides a platform to create highly personalized identification for issuance to third-party entities.
“My ID Alliance is the best platform for startups to be ready for the era of digital ID as the alliance seeks a highly business-driven environment where the partners can test various new business models together built on MyID DID platform,” said MyID Alliance Deputy Executive Director Josh Choi.
Popular Twitter trader Jacob Canfield noted how the ICX graph is showing potential for some pullback from this massive rally, warning investors to be cautious.
“$ICX is up 240% in the last 3 weeks, but I would be cautious as we are approaching high time frame resistance. I expect some consolidation at 5400 sats or a little pullback,” he said. He went on to point out that ICX is still down 95% from it’s all-time-high.
Trading volume across the majority of crypto exchanges has been increasing lately, with Bitcoin (BTC) recently crossing the half a billion transaction count. Major exchanges BitFinex, Bithumb, and CoinEx are all enjoying volume increases of 28%.