Theta successfully implements version 3.1.0, but prices fail to rally

Key Takeaways:

• Theta Labs announced successful implementation of a new protocol version 3.1.0, released on July 25.
• However, its native cryptocurrency THETA’s prices remained unresponsive to the news.
• Theta prices are moving horizontally on the daily chart.

NEW DELHI (CoinChapter.com) — Theta, the blockchain-based video delivery network, released version 3.1.0 on July 25. In a Twitter post today, the firm announced that the successful implementation of the update. However, the blockchain network’s cryptocurrency THETA did not react to the news, as it continued to move horizontally on the daily chart.

After a week-long bull run that saw prices rise by 117% from July 20’s low of $3.49 to July 26’s high of $7.60, THETA prices failed to break above a critical resistance level.

What The Latest Version Is About

The latest version of Theta Mainnet 3.1.0 includes a more efficient block proposal protocol, shortening wait time in chain progression. Additionally, the current implementation introduces the concept of “rolling databases,” which enables faster data read/write.

Also, the update shortens snapshot validation time by 30 mins and includes support for Ethereum RPC API. Hence, the upgrade clears the path for Theta-Ethereum cross-chain bridge development.

Also Read: Anchor, Lido join hands to launch Ethereum staking on their DeFi platform.

The success of Mainnet 3.0 means Theta is on the path to complete implementation. As such, the video streaming service introduced a new T-20 token, T-DROP, on its blockchain. The new token rewards NFT liquidity mining provides decentralized governance through staking and rewards validators.

Theta version 3.1.0 has been successfully implemented and after several days of testing is running smoothly! This update adds usability improvements and cross-chain tools including Metamask compatibility and ETH RPC adapter. Docs for these tools will be released later this week https://t.co/yGDuSbRZCW

— Theta Network (@Theta_Network) August 3, 2021

The statement also mentioned that no token sale event would take place for T-DROP. Moreover, it would work together with THETA and TFUEL to incentivize on-chain transactions and blockchain security. Therefore, the launch of T-DROP would increase the adoption of the ThetaDrop NFT marketplace. However, the launch date for the new token is February 1, 2022.

THETA Price Trends Remain Unaffected

Once the bull run exhausted on July 26, THETA tested support at the $5.50 level. Moreover, the altcoin has breached below its 20-Day (Blue) Exponential Moving Average trendline, which acted as dynamic support for the crypto.

Both the 50-Day (Green) and 200-Day (Red) Moving Average trendlines are above the cryptocurrencies prices. Hence, the altcoin is bearish in both short and long-term ranges. Moreover, the 200-Day MA acts as resistance at $7.19, while the immediate resistance is at the $6.40 level.

Support for THETA is at $5.50. If bears pull prices down, the next support is $3.67; prices rebounded to start the July 20-26 bull run. However, if bulls manage to break through the resistance, a 24% gain is in the cards for the altcoin. On the other hand, an upward trajectory is only possible if the $6.40 resistance is breached.

The relative strength index is currently neutral at 48.70, and the trendline’s movement mimics the altcoin’s price pattern. However, the MACD, a trend-based momentum indicator, is moving towards bearish regions.

The MACD histogram’s bars are decreasing on the daily chart. As the histogram plots the distance between the MACD line (difference between12-Day and 26-Day EMA) and the MACD signal line (9-Day EMA of MACD), the highlight of the declining bar that the MACD line might cross below its signal line, indicating a bearish crossover.

Bulls may latch on to the latest updates from Theta to consolidate the altcoin’s prices. As such, THETA doesn’t lack fundamentals, which means the current bearish phase may result from the overall crypto market’s price trend.

THETA was trading at $5.63 at the time of writing, down 3.26% on the day.