The recent growth in the crypto market did not go unattended. The flagship Bitcoin crossed the $40,000 limit and carried investors’ hopes higher.
This market uptick affected other tokens and digital assets associated with the Bitcoin ecosystem, prominently ORDI coin, which saw its value skyrocketing from less than $10 to north of $50. Crypto investors doubled down on token investing, rallying a bullish market that remained until the day of writing.
ORDI crypto token stands out from this market boom as a distinguished token system with a unique build. Let’s discuss this virtual currency and what caused its massive growth.
ORDI coin is a crypto token that was created in May 2023, following the newly introduced Bitcoin Ordinals. ORDI stands for Ordinal Inscription, which utilises the fractional value of each Bitcoin to mimic an NFT-like utility.
The Bitcoin ordinals break down a single BTC coin and use its cryptographic capabilities to transfer various media and information. Textual data, pictures, videos and GIFs can be inscribed in the fractional units of Bitcoin, extending the use of the flagship cryptocurrency and adding more use cases to its blockchain.
ORDI coins are built on the BRC-20 token minting standard of the BTC blockchain, which was recently introduced in April 2023. This new invention enables the network to mint tokens for the first time and use them in multiple DeFi platforms and Web 3.0 applications.
Satoshis are the notion of this ordinals coin, referring to the smallest unit of the BTC, which can carry multimedia and transfer them similarly to non-fungible tokens.
Each Bitcoin is made up of 100 million satoshis, powered to carry multimedia and data, comprising the ecosystem of the ORDI crypto token.
When the ORDI tokens were introduced in May, they had a starting price of $25, which trembled down to $15 in a couple of days. Starting from June, the price dropped below $10 and was trading for the rest of the year for even less than $8, or even below $5 on most occasions until November.
Starting from Q3, and exactly from 7-November, ORDI price crossed the $10 threshold and started an upward movement that shook the crypto market.
ORDI is a BRC-20 token, meaning that it is tied to Bitcoin and its performance is highly associated with BTC development and price action. Bitcoin caught an upward trend in October amidst speculations that the FED will cut interest rates and the expectations to approve the BTC spot ETF trading by the SEC.
These factors spurred Bitcoin’s positive price rally, which picked up associated tokens and assets, including ORDI, which witnessed an increase in ORDI wallet activity.
ORDI price action grabbed the attention of crypto traders and communities. So, we analyse the current events to predict the potential price action in the short and long terms.
We use the exponential moving averages indicator to track different timelines and compare short-term price action with historical movements as follows.
Firstly, we compare the 10-day EMA line to the 50-day EMA line to compare and predict short-term potential movement.
We see that the 10-day line was moving below the 50-day line for the remainder of the year or merely crossing it before dipping down again.
However, a price breakthrough started on 1 December, picking up the 10-day line above the 50-day line with a wide divergence that continues moving upwards for the first week of the month. Indicating continuous growth in the coming few days.
Then, we replace the 50-day with a 100-day EMA line to predict the long-term price expectations.
Here, we see a bigger divergence between the two lines, the price and the 100-day EMA line, referring to a possible growth that lasts for weeks, pushing the ORDI price higher.
The ongoing price growth of Bitcoin is not expected to last for a long time to revisit 2021 historical prices. However, this movement was crucial for the ORDI token, which crossed a $1 billion market cap.
Thus, the ORDI coin price may settle a little, but there is a chance that crypto investors will buy ordinals to keep their faith in the new token invention, contributing to its development and extended use cases.