IOTA Market Update: IOT/USD hovers above $0.33 as network focuses on the Chrysalis upgrade

• IOTA settles above $0.33 support following failed attempts to break out of the rising wedge pattern resistance.
• IOTA’s Chrysalis upgrade is setting the growth for the development of Coordicide; a long term upgrade.

IOTA has been among the most bullish and best-performing cryptocurrencies in 2020. Besides, the project is not lagging behind when it comes to development. In other words, on February 3, the IOTA project announced the implementation of a new upgrade called Chrysalis.

Meanwhile, IOTA is trading at $0.3303 after adjusting from $0.33007 (opening value) to $0.33109 (intraday high). The bulls are struggling to stay afloat above $0.3300 (immediate support). This follows a failed attempt to take on the resistance at $0.3500 and $0.3700, respectively.

IOTA is trading at the apex of a rising wedge pattern whose impact could be detrimental to the price. Therefore, if IOTA falls short of the first resistance at $0.3500, there is a possibility of a breakdown back to the support at $0.3300 and the main trendline support.

At the time of writing, IOTA remains relatively bullish especially with the RSI sitting well within the overbought region. The MACD is also trending higher in the positive region. It shows a bullish divergence likely to encourage the bulls to increase their entries.

IOT/USD daily chart

IOTA Chrysalis upgrade

The upgrade is essentially IOTA 1.5 and has been tailor-made as a stepping stone for the “Coordicide, a long-planned initiative to remove the Coordinator from the IOTA network,” as reported by Cointelegraph. Coordicide is being created to be a central server under the management of IOTA development team. Its main function is to create checkpoints in the network’s transaction history. IOTA Co-founder Dominik Schiener told Cointelegraph:

“Chrysalis is the intermediate stage before unleashing the full potential of IOTA through Coordicide. Many of the features have been long in discussion and we have finally come to an agreement internally on which strategy we will be taking with the IOTA core protocol. Some of the changes are more radical, but they pose a great opportunity for IOTA as they have been consistently requested from our community and corporate partners.”