Bluzelle (BLZ) Price Prediction – Will BLZ Reach $0.20?

Key takeaways

• Bluzelle (BLZ) surged 130% in August, outperforming the overall cryptocurrency market
• The daily trading volume for BLZ experienced a remarkable rise, reaching an all-time high of $1.43 billion

BLZ trading volume reaches all-time high during 130% move

The current price of Bluzelle (BLZ) is $0.08 after the token outperformed the rest of the cryptocurrency markets and climbed 130% between August 7 and August 14, 2023. During the same time period, the total crypto market cap has climbed only by 0.96%.

BLZ reached $0.12 at its peak during the surge, catapulting from a multi-year demand zone under the $0.05 price level. It is thought that the recent price action could be driven by a short squeeze following a major token unlock, owing to increased derivatives trading volume over the past 7 days.

The daily trading volume for BLZ rose 244% between August 5 and 7, before rising a further 5856% over the subsequent 6-day period. This took BLZ’s daily volume to an all-time high at $1.43 billion. The spike in daily trading volume may be an indication that traders were taking profits, creating buy pressure during a short squeeze that sent the BLZ price upwards.

The 130% rally for BLZ took the price to $0.12 — approximately the same level as the ICO in 2018.

Will BLZ maintain its upward rally?

Recent project developments create bullish investor sentiment

Developer activity has started to pick up on Bluzelle’s purpose-built GameFi blockchain. The network unlocks impressive performance capabilities for blockchain games, processing 10,000 transactions per second (TPS) and providing a decentralized storage network that allows gamers to retain full custody over in-game collectible items.

On August 1, it was revealed that the private beta for Bluzelle’s native NFT trading card game, GAMMA 4, has now launched. GAMMA 4 is the flagship P2E game built on Bluzelle, adding to an NFT marketplace known as Capella, which was designed to support seamless peer-to-peer trading for in-game items.

After falling 70% from its yearly high to form a new low in July, Bluzelle’s recent project developments have caused investor sentiment to flip bullish.

BLZ market cap could be undervalued compared to key blockchain competitors

The market cap of BLZ is currently $32 million, rising from $20 million earlier in the month. To compare, ImmutableX — another purpose-built GameFi blockchain — has a current market cap of $754 million, which is more than 20x higher than Bluzelle.

A driving factor behind BLZ’s lagging valuation could be that it has been built within the Cosmos ecosystem, while ImmutableX is a layer-2 solution for Ethereum. The total market cap for ETH is more than 70x higher than ATOM — which may suggest that BLZ’s valuation is disproportionately large compared to IMX.

To further demonstrate, ImmutableX has more than 20 games in its ecosystem, while BLZ currently has just two: Denomination and GAMMA 4. However, the recent uptick in developer activity and Bluzelle’s integration with Ethereum Virtual Machine (EVM) in 2021 could open the door for more new releases on Bluzelle, which has the potential to boost network usership and drive the adoption of the native token.

Could Bluzelle price hit the $0.2 mark in the coming weeks?

After hitting the ICO price of $0.12, BLZ quickly retraced, indicating that early backers of the project may have sold at this level.

The CoinCodex price prediction algorithm expects the BLZ price to increase by over 100% to $0.17 in the coming year.

BLZ price prediction Aug 15, 2023 – Aug 14, 2024

Final thoughts

The long-term price prediction for BLZ is bullish. Bluzelle has released several key project developments over recent years, including EVM compatibility, the first NFT marketplace in the Cosmos ecosystem, and two highly rated blockchain games; while its market cap remains significantly lower than its direct competitor, Immutable X.