- Algorand processed 1 million+ transactions in 24 hours as Active Addresses jumped by nearly 30%, but the price fell 0.45%.
- Top traders stayed net long, but retail sold steadily, keeping ALGO stuck under $0.22 for now.
Algorand [ALGO] processed over 1 million transactions in 24 hours, with Active Addresses surging by nearly 30%.
Despite that, ALGO has yet to record any positive gains in the market.
In fact, in the last 24 hours, the altcoin’s price declined by 0.45%, with its overall performance over the past week down by 9.44%.
AMBCrypto analysis shows that despite this underperformance in terms of returns, the asset shows potential for a rally on the chart.
But the question remains: what is stopping ALGO?
ALGO’s new milestone and price action explained
Recent reports show a notable surge in Algorand’s on-chain activity.
At the time of writing, the network reached 1 million executed transactions, with Active Addresses climbing to 108,000—an overall increase of nearly 30%.
Source: Nansen
According to Nansen, low fees and high usage drove this recent milestone. Interestingly, AMBCrypto linked this to a reaction off a key support level.
On the chart, ALGO formed a triple-bottom line just above that support. A breakout above the descending resistance could push the price toward $0.3128—a 47% climb.
Source: TradingView
However, weak momentum suggests that the asset could consolidate further, remaining either at a loss or posting minimal gains.
Is momentum building up?
An analysis of the spot and derivatives markets shows that overall market momentum remains significantly low.
In the spot market, the Exchange Netflow—a metric used to assess long-term purchasing and selling activity—confirms this trend.
Source: CoinGlass
At present, spot market traders are selling the asset rather than buying. So far, $74,000 worth of ALGO has been sold.
At a point where the altcoin is trading at a key support level, this selling does not add to its bullish potential, and ALGO could continue trading within this range.
Derivative sentiment isn’t much different.
In fact, it suggests a bullish trajectory despite high selling pressure.
High selling, weak momentum — The implication
In derivatives, sentiment leaned bullish, but conviction seemed to waver. Volume jumped 11.79% to $83.10 million, yet Open Interest (OI)dropped 2.72% to $84.27 million.
That mismatch between rising volume and falling OI usually signals low confidence.
Source: CoinGlass
Meanwhile, the Long/Short Ratio dipped to 0.9088—showing sellers in control.
Interestingly, top traders on Binance were still long-heavy, with account-level Long/Short Ratios above 2.0. This created a dissonance: whales may be preparing for upside, but retail is still pulling back.
Source: CoinGlass
If selling pressure continues to mount, ALGO risks remaining in the lower price region until significant buying momentum emerges.
