ontology is a native coin of the ontology network that is used by ontology users to vote for validators who should use the ontology coin to secure the ontology network as well as to validate any transaction taking place on the ontology network. In return, they receive reward in form of ontology gas. This makes the ontology coin to be considered to be using a delegated proof of stake consensus. In 2018,ontology conducted its ICO where one coin was going for around $0.2 . By May 2018,the price had managed to go to around $10 but came to drop to around $0.5 early 2019 . Currently, one ontology is trading at around $0.57 and the price is expected to increase overtime due to an increase in its utility function as a result of an increase in the number of stakers. The ontology price prediction is being further explained based on its consensus used as follows;
Consensus used.
Ontology uses a delegated proof of stake consensus. In this consensus, the stakers use their ontology coin to vote for delegators who uses those coin to secure the network as well as to validate any transaction taking place on the ontology network. In return, they receive reward in form of ontology gas minted as well as the gas fee charged. The reward is then distributed to stakers based on their vote. The more their delegation power, the more the reward they receive. Therefore, we can say that when there are many ontology coin being delegated then there will be insufficient of ontology coin in the network which will result to an increase in demand thus causing the price to also increase. On the other hand, when the number of ontology coin being delegated is few then there will be excess of supply of ontology on the ontology network .This will result to a decrease in its price due to low demand. Therefore, the future price of ontology will therefore be explained based on a bullish and bearish market as follows
1. Ontology bullish price analysis based on consensus used
In a bullish market ,ontology will be trending in an upward direction. In early 2018,ontology network conducted its ICO where one ontology was going for around $0.2. By May 2018,the price had managed to go as high as $10 but later dropped to around $0.5 on December the same year. The increase in price to around $10 was due to an increase in the number of delegators delegating their ontology to several validators thus causing the coin to become insufficient on the ontology network. This in turn causes the ontology demand to increase thus the price increases as stated earlier. The decrease in price again to around $0.5 was due to the stakers unlocking their ontology coin where they transfer them to several exchanges to sell them Currently, one ontology is trading at around above $0.5 and the price is expected to increase overtime. The ontology market is being indicated as from the candlestick chart below;
The above is the ontology market in terms of USDT. Two points are being indicated. There is A and B .Before point A, the market was moving upward all the way to around $0.579 .This upward movement has been due to an increase in demand due to insufficient of ontology on the ontology network . This insufficient is due to many of the coin being delegated by several stakers. At $0.579, the stakers are starting delgating their earned coin together with the staked one where they transfer them to several exchanges to sell them there. This result to an increase in supply of ontology on the ontology network thus causing its price to decline to point A at around $0.558. At point A, more delegators are again starting to purchase some ontology in order to stake them. This result to a decline in its supply thus causing it to become inefficiency in the network which in turn causes the Price to increase again to point B at around above $0.568. If more coins are being sold to stakers for staking purpose,then they will further become inefficiency in the network thus causing its demand to further increase. This can cause the Price to further increase as high as $1 by the end of the year. You can continue staking and wait to sell when the price reaches $1 by end of the year in order to make some good profit
2.ontology bearish price analysis based on consensus used.
In a bearish market,ontology will be moving in a downwards direction. In early 2018 when ontology conducted its ICO,one ontology was going for around $0.2. By May the same year, the price went as high as $10 but later dropped to around $0.5 the same year. Currently, one ontology is trading at around $0.57 .Here is the candlestick chart showing the market movement for ontology based on consensus used;
The above is the market for ontology in terms of USDT. Two points are being indicated. There is A and B. Before point A, the ontology market was moving to a downwards direction all the way to around $0.506 from its previous high of $0.65. This downward market movement has been as a result of the existing stakers to unlock their ontology coin together with their earned gas where they take them for dumping in several exchanges. This causes the supply of ontology to increase on the network thus causing the demand to decline which in turn causes the price to decline as stated above. At $0.506, there are new stakers who are starting to demand for ontology in order to stake them. This causes them to become inefficiency thus causing the price to slightly increase to point A at around $0.523. At point A, some existing stakers are staking to unlock their ontology together with their earned gas due to a decline in the staking reward. They are taking them for dumping in several exchanges which result to an increase in supply of ontology on the network which in turn causes the demand to decline. This decrease in demand and increase in supply result to a further decrease in its price to point B at around below $0.512. Although am not bearish for ontology, if reward will decline for staking,then more stakers will continue unlocking their staked coin together with their earned gas which will further increase the supply on the network thus causing the price to decline to around $ $0.40. I am bullish for ontology
Summary.
Ontology is a native coin of the ontology network that came to be in early 2018 and can be transferred from one smart contract address to another without involvement of a third party. In its ICO, one ontology was going for around $0.2 . The price went as high as $10 on May 2018 but later dropped to around $0.5 the end of same year where it has managed to maintain at around there. Therefore, we can say that when the staking reward is high, then more of the coin will be demanded for staking which will result to an increase in its price. On the other hand, when the staking reward is very little,then few of the coin will be demanded for staking which will result to a decline in its price. I am bullish for ontology