AMP token is defying the market, surging 320% in three weeks to close in on top 20 coins

  • While most cryptos hit their highs in April and have dropped since then, AMP token has seen explosive growth in the past three weeks to hit a new all-time high.
  • The token is now worth $4.9 billion after shooting up over 300 percent in three weeks following listing by Coinbase, Bittrex and others.

2021 has been the year of cryptos, with Bitcoin leading a market rally that hit its peak in April. However, since then, most cryptos have shed a sizeable share of the gains they recorded. Not so for little-known AMP token. The crypto is on a parabolic rise in the past month and since mid-January, it has recorded over 1,000 percent gains. It’s now closing in on the top 20, having doubled in value in the past week alone.

AMP is a digital collateral token that provides instant, verifiable collateral for any real-world application. It was developed by Flexa, a digital payments network that allows users to spend their digital assets on merchant stores, and ConsenSys, a blockchain software technology company founded by Ethereum co-founder Joe Lubin.

AMP is an ERC20 token – meaning it’s built on Ethereum – and is used as collateral for payments on Flexa. As such, if a digital asset payment of Flexa fails, AMP can be liquidated to cover costs.

AMP launched in 2020 and started trading in September. At the time, its value was $0.01. However, it would tumble in the three months that followed to bottom out at $0.006. As with other cryptos, it would receive a boost in January that took it all the way to $0.05 in February.

Of Coinbase, the bull run and the race for top 20

AMP has been the best performer in the top 100 cryptos in the past month. As recently as May 23, it was trading at $0.027. It has since then shot up to hit a new all-time high at $0.12 on June 16. At press time, it has shed some of the gains and is trading at $0.1187.

The greatest spark behind the rally is its listing on Coinbase. Earlier this year, one of AMP’s biggest challenges was its lack of accessibility by traders. However, as its value has shot up, more exchanges have onboarded it. Coinbase picked it up on June 8, with trading starting two days later.

Since Coinbase announced support for AMP, the crypto has tripled in price.

A deeper dive into the crypto on IntoTheBlock shows that at its current price, all AMP holders are in the money. The platform’s data further shows that AMP has been seeing growth in almost all its other metrics, from active addresses and wallet balances to average transaction value and the number of daily transactions.

Historical Break-Even Price Courtesy of IntoTheBlock

However, AMP has its caveats. One of them is that since it’s a new coin, a majority of its supply is controlled by a few whales. According to IntoTheBlock, 83 percent of its supply is controlled by whales, with retailers only accounting for 7 percent.

About Author

Steve has been a blockchain writer for four years, and a crypto enthusiast for even longer. He is most excited by the application of blockchain to solve the challenges facing developing nations.

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