Kaspa (KAS) Gains 32% in a Week Fueled by Robust Fundamentals

Kaspa—KAS, has gained 32% in just one week. The altcoin’s rise coincides with Bitcoin’s surge above $100k and the pro-crypto policies of US President-elect Donald Trump. As market conditions shift, Kaspa is drawing more attention.

Technical Indicators Point to Potential Bullish Momentum

Kaspa’s price spiked by over 30% in just three days, reaching around 15 cents on January 16, 2025. This increase came after bouncing off a key support level of 10 cents, signaling possible upward movement. 

Since May 2022, the price has jumped by over 879x, hitting an all-time high of 20 cents six months ago. However, traders should be cautious. A head and shoulders pattern is forming on the chart, often a sign of a reversal. 

Additionally, the weekly Relative Strength Index (RSI) shows bearish divergence. If Kaspa drops below 10 cents, a further dip to $0.075 could be in the cards. Still, the overall market sentiment and the upcoming altseason could push the price higher.

Kaspa’s Strong Fundamentals Drive Growth

The Kaspa network is improving rapidly. A hard fork called Crescendo will increase the block rate from one per second to ten, enabling the network to handle up to 150 million transactions daily. 

The introduction of KRC-2 tokens has also boosted on-chain activity, with transaction volumes climbing from 31k to as high as 8.86 million per day. Additionally, Kaspa’s transition to Rust programming language will further enhance its scalability. 

The Kaspa Eco Foundation (KEF) has partnered with DWF Labs, a leading market maker, to improve liquidity. With these technical advancements, Kaspa is setting itself up for long-term growth and market success.