Later on rallying 1.510% in 2021, QTUM cost hit a $35.70 all-time high on May vii. This relatively obscure altcoin launched in September 2017 is a fork of the Bitcoin Core 0.xiii version, but it likewise integrates the Ethereum virtual machine (EVM) and smart contract execution capability.

Following Bitcoin'southward (BTC) April 23 crash downward to $47,500, QTUM faced a 52% correction in iv days before bottoming at $x. All the same, the state of affairs for the altcoin improved on May 5 every bit QTUM initiated a 160% rally in two days, reaching the $35.70 peak.

QTUM price at Binance, USDT. Source: TradingView

Qtum combines Bitcoin's transaction model with Ethereum smart contracts

The open-source platform'due south primary goal is to provide simple tools that anyone can use to create decentralized applications (dApps) while maintaining a loftier level of network security. The project opted for a slightly unlike Proof of Stake (POS) version to forbid malicious nodes, and a certain number of blocks are needed for the staking tokens to get valid.

Qtum blockchain supports smart contract programming languages beyond Solidity, besides having an on-chain decentralized governance protocol. Token holders vote on network parameters such as block size and base of operations gas fee.

While Qtum blockchain features an on-chain governance system, it also has an off-chain procedure for approval and treatment more significant protocol changes. The protocol has recently identified decentralized finance (DeFi) equally a focus area and steps to attract new projects.

This strategy seems to exist finally paying off, as the number of daily network transactions peaked on May half dozen.

Qtum blockchain transactions per twenty-four hour period. Source: qtum.info

Staking improvements and DeFi pin send Qtum price higher

Offline staking was implemented in August 2020, and it has grown to more than half the staking activity on the Qtum blockchain. Investors who don't desire to handle their own nodes can brand a non-custodial delegation for their coins.

On March 17, Value Network announced plans to migrate away from Ethereum due to network congestion and loftier costs. Information technology is now moving to the Qtum smart contract and DApp platform and has received a development grant to accelerate the transition.

On March 31, Qtum founder Patrick Dai said that the protocol was working to enable smart contracts for Filecoin (FIL) through the Qtum network.

The network transitioned from a 128-2nd block average to a 32-2d block average via a hard fork on Apr 30. The average four weeks that it took for an average-size staker to get valid at present has been reduced to a unmarried calendar week.

Ethereum compatibility means increased interoperability

Interoperability is another reason for QTUM's contempo rally. The team is developing Neutron, an agnostic interface that allows virtual machines to run on multiple blockchains. Moreover, its ain DEX called QiSwap enables users to build DeFi applications and provide liquidity on top of the Qtum blockchain.

VORTECS™ data from Cointelegraph Markets Pro began to detect a bullish outlook for QTUM on May five, before the recent cost rise.

The VORTECS™ Score, exclusive to Cointelegraph, is an algorithmic comparison of historical and current market conditions derived from a combination of data points, including market sentiment, trading volume, recent toll movements, and Twitter activity.

VORTECS™ Score vs. QTUM price (white). Source: Cointelegraph Markets Pro

As seen in the nautical chart above, the VORTECS™ Score began to climb on May 5 and reached a loftier of 71. It'southward worth noting that the VORTECS™ Score peaked roughly 24 hours before the price spiked 100% to a new all-time high at $35.seventy.

Qtum is aiming to compete with some serious smart contract contenders similar Cardano (ADA), Polkadot (DOT), VeChain (VET), and Solana (SOL) and the project has an impressive $2.74 billion market capitalization.

Even so, for QTUM to increase its valuation, investors will probable desire to meet more decentralized applications and total value locked (TVL) on the network.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading movement involves risk. You should conduct your own research when making a decision.