Render (RNDR) has maintained its triple-digit yearly price gains as other CryptoAI tokens lost traction in H2 2023. On-chain data analysis examines if the SocialFi hype can push RNDR price to new peaks in the coming weeks.
RNDR is the native token of Render, an Ethereum-based GPU rendering network. By connecting artists and studios needing GPU computing power to mining partners, Render Token benefits immensely from the raving SocialFi hype.
Render Network Adoption is Growing Amid SocialFi Hype
While prominent SocialFi protocols like Stars Arena, Friend.Tech and Post.Tech has stolen the media headlines, Render network appears to be attracting significant traction behind the scenes.
According to on-chain data from Santiment, RNDR has witnessed a noticeable spike in new users in recent weeks. The chart below shows how Render Network Growth has consistently increased from 121 new addresses on September 5 to a 40-day peak of 230 on October 2.
Network Growth assesses a blockchain protocol’s new user acquisition rate by aggregating the daily number of fresh wallet addresses created. Typically, new users often mean new demand for the underlying native token.
As expected, this uptick in user acquisition has propelled RNDR price to a steady 25% price bounce between September 5 and October 5.
The Increasing Adoption Rate Seems to Have Impacted Spot Market Demand
In confirmation of the bullish stance, the new joiners adopting products and services built on the Render network appear to have started driving up market demand.
Purchase orders have exceeded the market supply for RNDR, according to the latest data from the Order Books of 10 crypto exchanges, including Binance, Coinbase, and Kraken.
As shown below, the bullish traders have queued up orders to purchase 7.5 million RNDR. And notably, this is considerably higher than the current 7.1 million RNDR sell orders
The Exchange Order Books chart presents the current volume of active RNDR spot market orders placed across recognized crypto exchanges.
As seen above, the market supply for Render tokens has now exceeded demand by more than 400,000 tokens. This suggests that as the SocialFi hype grows, RNDR is attracting fresh demand.
RNDR holders can anticipate more price gains in the coming weeks if this projection holds.
RNDR Price Prediction: Possible Upswing Above $2
These current on-chain data trends indicate a possible RNDR price upswing above the $2 area.
The In/Out of Money Around Price (GIOM) data, which depicts the entry price distribution of current Render network participants, also validates this bullish thesis.
It shows that if the Render token price can scale the initial resistance at $1,90, the bulls could potentially drive the rally above $2.
But, as shown below, the 2,320 addresses bought 27.21 million RNDR tokens at the minimum price of $1.89. If they book early profits, they could cause a momentary pullback.
But if the network growth intensifies, the SocialFi hype can push RNDR price above the $2 mark.
Still, the bears could invalidate this optimistic prediction if the Render token price wobbles below $1.20. However, as shown below, 1,430 addresses had bought 21.33 million RNDR tokens at the maximum price of $1.48.
If they HODL, RNDR could avoid the bearish downswing.
But if the Render bulls cannot defend that vital support level, the price could eventually slide below $1.2.
In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions.