This altcoin is becoming one of the largest cryptocurrencies on the market

This 5G mobile hotspot altcoin will eventually become one of the largest cryptocurrencies on the market, says a prominent analyst.

In one Video Recently, the Coin Bureau host, nicknamed Guy, told his 1.96 million subscribers that Helium (HNT) will one day outperform the competition.

“Helium may struggle in 2022, but for me, HNT will eventually become a leading cryptocurrency.”

Helium is a peer-to-peer decentralized wireless network built on the blockchain platform. By supporting smart contracts and enterprise applications, Helium enables network-connected IoT devices to communicate and exchange data. HNT tokens are used to reward participants such as wireless hotspot operators and auditors.

Guy said Helium remains in a strong uptrend despite the project’s initial inflation.

“All of these updates, announcements and developments have strengthened Helium’s position. Despite being more than 50% below its all-time high, it is still in a strong uptrend. This is a little surprising since HNT’s tokenomic…

The initial inflation for HNT is quite strong as the supply goes from 0 to 150 million in the first four years. If my calculations are correct, the circulating HNT supply has increased by about 14 million in the last four months alone. Assuming the median price is $30, the potential selling pressure is $420 million.

While it’s unlikely that all of these newly minted HNTs were sold, 35% of them went to 10,000 Helium security token holders according to the original distribution plan… A recent interview with Helium’s COO reveals most [những token đó] is held by Helium investors, not the team.

The interesting thing here is that one of the biggest investors in Helium is Multicoin Capital and they are extremely optimistic about the Helium project. So it’s probably safe to assume they won’t oversell HNT if they do. Even so, a significant portion of HNT’s newly minted offering is likely already sold, as the remaining 65% will go to helium validators and hotspot operators.

Funnily enough, the biggest buyers of HNT actually seem to be helium validators and hotspot operators – nearly 1,000 validators have joined since October, and each must buy at least 10,000 HNTs. If you do the math, that’s almost HNT 10 million, or $300 million of buying pressure.”

Guy explained that the network has added hundreds of thousands of hotspots over the past few months, which has increased buying pressure on the altcoins.

“Nearly 400,000 hotspots have been added since October, and each hotspot has bought and burned $40 worth of HNT. Again, if you do the math, that’s $16 million in buying pressure. This suggests that undefined buying pressure of around US$100 million – Dollar stays in. I assume this money comes from speculators.

Speculation has declined as the crypto market struggles. However, keep in mind that there are still about 2.4 million hotspots waiting to connect to the Helium network. This means that HNT will face buying pressure of at least $100 million in the coming months, which is huge for an altcoin with a market cap of around $2 billion.”

Helium is currently trading at $23.96, up 7.96% on the day.

Disclaimer: This article is for informational purposes only, not investment advice. Investors should research carefully before making a decision. We are not responsible for your investment decisions

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