Fantom (FTM) up 14%, With No Visible Trigger, What Is Driving This Growth?

Fantom (FTM) is seeing broad-based bullish growth today in what appears to be organic buying interest from members of the protocol’s ecosystem. Per data from CoinMarketCap, Fantom is up by 14.12% and is changing hands at $0.462.

The entire setup for growth cannot be attributed to any imminent network fundamental, even though the past week has seen some acknowledgment of growth by some of the core dApps residents on the Fantom protocol. For instance, Plena Wallet revealed a significant upsurge in patronage following the crash of some of the centralized entities in both traditional finance and the Web3.0 world.

“We gain the most traction when large centralized entities crash, and people began recognizing the significance of self-custody.

The combination of fast block times & thriving dApp ecosystem made Fantom an excellent choice for our platform” @PlenaFinancehttps://t.co/y0Rj1a8PWV pic.twitter.com/kSvTkXq5YB

— Fantom Foundation (@FantomFDN) March 28, 2023

Fantom was designed to serve both retail and enterprise users as its Directed Acyclic Graph (DAG) buildup can permit cheaper and more scalable transactions. For Fantom, its advanced capabilities were at the core of the discussion by Andre Cronje at the ETHDubai Conference.

In all, Fantom has carved out a niche for itself as the go-to platform for gamers, expanding its reach as a protocol with some of the best developer diversity structures around. The current performance is seeing the protocol pare off the losses accrued over the past week.

Show of strength in DeFi

There is a never-ending but subtle debate about whether the technology powering Fantom has higher functionality compared to those powering other protocols like Ethereum. The DAG is a unique type of Distributed Ledger Technology (DLT) deemed to have higher scalability than a typical blockchain, as it can process more transactions more cheaply.

As far as DeFi and its associated innovations are concerned, Ethereum is the lead irrespective of the obvious show in functionalities branded by Fantom.

While not directly termed an Ethereum killer like Solana (SOL) and Cardano (ADA), Fantom is building its foundational offerings and showcasing its strengths.