The Chia Network, thanks to its eco-credentials, is a hotly discussed topic in the cryptocurrency world right now. As its popularity grows, investors are looking to its token, XCH, and seeking a price prediction.
What is Chia Network
Let’s start at the beginning. The Chia Network is a decentralised blockchain that has become known as ‘the level 1 solution’. This is because the entire network was built from scratch.
As a decentralised network, it distributes workloads among multiple machines. It is reputed to be the ‘most decentralised’ blockchain, with around 200,000 nodes.
The Chai Network was founded by Bram Cohen, the author of the BitTorrent protocol, in 2017. Chia is a sustainable network, and it consumes less energy as it is also part of the Circular Drive Initiative.
XCH Token
XCH is a Chia network token that launched on May 3, 2021, when its price was $850. After it launched, the price rose to $1,934, more than twice the initial price within 24 hours. Unfortunately, this remarkable rise was not long-lived, as the price came down to $612.
However, in that same month, a criticism of Bitcoin for not being sustainable, made, perhaps inevitably, by Elon Musk, impacted XCH value. The price skyrocketed again, to $1,623, because Chia is seen as an eco-friendly network.
Once again, the meteoric rise could not be sustained. After just a few days, the coin’s value dropped below $700.
XCH Price Prediction
After the two price rises XCH experienced in May 2021, no other significant increase was recorded. Rather than growing, the price of XCH dropped even lower.
Towards the end of June, the cryptocurrency’s price was already as low as $230. The price kept fluctuating between $230 and $273 up until September. October was even worse as the price of XCH went down to $140.
On the face of it, all hopes of it ever even returning to its original price seem dashed; today’s price is currently below $35.
There has been a lot of XCH price prediction based on the nature of the coin. Some expert forecast platforms have predicted that XCH has a better future and is very likely to rise higher in value in the future. On the other hand, other analysts keep predicting that the price of XCH will even get as low as $3.10.
When you begin to think about predicting the prices of cryptocurrencies, one cannot know for sure what the future holds for Chia and XCH. However, many observers agree that the current state of the coin gives a lot of room for optimism. The value has been high before, and buying in now, at such a low level, means investors could ride a positive wave if Chia’s environmental credentials push it back into the limelight.
On the other hand, plenty of experts say a few days of high prices so shortly after launch followed by months of very low value suggest XCH’s long-term prospects are not strong.
Conclusion
The fact that different experts offer alternative and contradictory XCH price prediction suggestions underlines the nature of cryptocurrency.
You can never be entirely sure where prices will go. Chia Network could become all the rage again, perhaps with another Musk Tweet, or it could continue its low-value journey.
The only thing that is certain in cryptocurrency investing is the need to be aware of market volatility and the risks associated with trading.
Make sure you conduct your own thorough research across multiple sources before making decisions. If you choose to trade, only ever invest what you can afford to lose.
