Supply chain woes and the growth of Web 3.0 back OriginTrail’s fresh ATH

Cryptocurrency

Supply chain management continues to be an important are of focus and concern for the global economy, especially with the current shipping backlog at major ports across the globe and the dwindling supply of items available on store shelves. 

Interestingly, OriginTrail (TRAC), a logistics and supply-chain management-focused blockchain protocol, has been gaining traction over the past couple of months and this week the project’s TRAC token hit a new all-time high.

Data from Cointelegraph Markets Pro and TradingView show after hitting a low of $0.278 on Aug. 29, the price of TRAC has vaulted 306% to a new record high at $1.39 on Oct. 28 as its 24-hour trading volume spiked from an average of $4.66 million to $11.55 million.

TRAC/USDT 4-hour chart. Source: TradingView

Let’s take a look at what might be behind TRAC’s current rally to new highs.

Decentralized knowledge graphs

On Oct. 1 OriginTrail rebranded itself as the “world’s first decentralized knowledge graph” designed to “organize humanity’s most important assets, making them discoverable, verifiable and valuable.”

The idea behind the rebrand is to help better convey the network’s ability to take the current ecosystem of siloed information spread out across web2 and integrate it with the evolving web3.

Data capable of being stored and tracked on Origin trail includes information about physical goods as well as digital goods and assets and makes them discoverable and verifiable on its web3 capable decentralized network.

This includes physical goods such as art and farm-to-table food items as well as digital items such as nonfungible tokens (NFTs), certificates, diplomas and DeFi assets.

The project has also benefited from high-profile partnerships, including the use of OriginTrail blockchain to host the SCAN Trusted Factory solution that was developed between the Supplier Compliance Audit Network (SCAN) and BSI UK.

Related: Truly decentralized finance will be beyond siloed blockchains

Supply chain disruptions and the rise of Web3

Another reason for the recent rally is the massive struggle the global supply chain is having with shipping, offloading, tracking and delivering goods to merchants.

Since the beginning of the COVID-19 pandemic stories of item shortages have dominated the news headlines and the global supply chain has been under pressure with gaps in deliveries becoming a common occurrence.

Currently there are multi-month long backlogs at ports around the world and a microchip shortage has stalled the development cars, consumer electronics and other high use electronics.

Along with TRAC, multiple Web3 protocols have seen their native tokens establish new record highs in recent days including NEAR Protocol, Verasity and Harmony.

According to data from Cointelegraph Markets Pro, market conditions for TRAC have been favorable for some time.

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 price movements and Twitter activity.

VORTECS™ Score (green) vs. TRAC price. Source: Cointelegraph Markets Pro

As seen in the chart above, the VORTECS™ Score for TRAC began to pick up on Oct. 4 and climbed to a high of 77 around 48 hours before the price increased 180% over the next three weeks.

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

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