IOTA price went vertical on Thursday as traders cheered its regulatory state. The coin jumped to a high of $0.2898, the highest point since October 2022. At its highest point, MIOTA was up by over 115% from the lowest point this year. Its rally has given it a market cap of over $600 million.
IOTA Foundation Abu Dhabi registration
In a statement, IOTA Foundation said that it had become the first Distributed Ledger Technology (DLT) to be registered and recognized by the Abu Dhabi Global Market (ADGM) agency.
As a result, the foundation will work alongside ADGM to push forward the regulations between real assets and the digital world. At the same time, the foundation will be seeded with $100 million in IOTA tokens to help nurture the ecosystem and accelerate the growth.
These new funds will vest over the next four years, leading to more dilution to existing investors. IOTA Foundation will also seek to generate key partnerships and attract more developers in its Shimmer project. In a statement, the CEO of registration authority at ADGM said:
“Welcoming IOTA, one of the most established and well-respected blockchain protocols into ADGM’s DLT regime exemplifies our ambition to position Abu Dhabi’s stature as a prime location and ADGM as the leading jurisdiction for the blockchain industry.”
IOTA has been working hard this year to grow its ecosystem. One of its biggest developments was the rapid development of Shimmer and the introduction of EVM capabilities in its ecosystem.
As I wrote last week, the number of transactions in Shimmer has risen modestly a few months after launch. Data shows that the number of daily transactions in the network has jumped to over 27.3k while blocks have hit over 1.13 million. The total value locked (TVL) in the ecosystem has jumped to over $5.4 million.
IOTA price forecast
The daily chart shows that the IOTA price surged hard on Wednesday after the ADGM news. As it rose, the coin moved above the important resistance point at $0.2743, the highest point on February 20th.
IOTA then retreated as the momentum faded. It was trading at $0.2486 on Thursday, which was also higher than the 50-day and 100-day Exponential Moving Averages (EMA). The Relative Strength Index (RSI) has remained above the overbought level.
Therefore, the outlook for IOTA is neutral for now. I suspect that it will retreat slightly as traders take profits and then resume the uptrend. The next important level to watch will be at $0.2200. A break above this week’s high of $0.2898 will point to more upside.
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