Covalent is one of many blockchain data platforms.
Its native token, CQT, has recently recovered from a price drop that saw it fall below 10 cents.
Can CQT continue to recover and can Covalent become a big player?
The Covalent platform aims to provide data on the blockchain in a way that is easy, quick, and inexpensive.
Its native CQT token has had a rough 18 months or so, but has recently seen some positive price movement.
But what is Covalent (CQT)? How does Covalent work? Let’s see what we can find out, and also take a look at some of the Covalent Price Predictions that were being made as of 19 July 2023.
If the internet is all about data, then it follows that blockchain technology is also all about data. Put simply, people who work on the blockchain need to be able to access accurate information, quickly, in order to do what they need to do.
Covalent is a platform which is designed to help blockchain users do just that. Founded by physicist Ganesh Swami and tech expert Levi Aul, the system is an application programming interface (API), which basically means that it is a program designed to help other programs communicate with each other.
Covalent, which is based on the Ethereum (ETH) blockchain, is supported by its native token, which goes by the ticker handle CQT.
Covalent puts information together from a range of blockchain-based sources, finds people who want to use the data, and puts them together. Its API is designed to be simple and easy to use, and it promises to return information in a timely and consistent manner.
In terms of CQT, the token is used to give people access to data queries. It can also be set aside, or staked, in return for rewards, with people who validate transactions on the platform able to earn it for answering queries. Holders can also vote on changes to the network, and it can also be bought, sold and traded on exchanges.
It is important to point out that, because Covalent is based on Ethereum, it is a token, not a coin. You might see references to such things as a Covalent coin price prediction, but these are not entirely accurate.
Let’s now take a look at some of the Covalent price history . While past performance should never be taken as an indicator of future results, knowing what the token has done can help give us some very useful context when it comes to either making or interpreting a Covalent price prediction.
When CQT first came onto the open market in the summer of 2021, it was worth about $0.80. Although the price dipped, it shot up again and reached an all-time high of $2.09 on 14 August. After that, it fell down somewhat and it closed the year at $0.5758.
In 2022, things got worse for crypto and CQT suffered, with a series of market crashes seeing it sink to an all-time low of $0.05081 on 1 August. There was some recovery after this, but not as much as investors may have wanted, and it closed 2022 at $0.1063, representing an annual loss of more than 80%.
So far, 2023 has been a rather mixed year for Covalent. A bullish market saw it surge to $0.2337 on 7 February, but it has largely been downhill since then. In early July, it fell below 10 cents, with a low of $0.09739 on 10 July but has since made a small recovery. On 19 July 2023, Covalent was worth about $0.11.
At that time, there were about 607 million CQT in circulation out of a total supply of one billion. This gave it a market cap of $66.8 million, making it the 314th largest crypto by that measurement.
CQT has been through the wringer somewhat over the last two years or so, but the token’s price has been moving in the right direction over the last few days. It has recovered by nearly 13% since 10 July.
However, its current price is more than 50% lower than the high of 7 February.
On the other hand, it is about 3.5% up from the start of the year and is down 6% from the $0.1171 it traded at on 19 July 2022.
With that all out of the way, let’s take a look at some of the Covalent price predictions that were being made as of 19 July 2023. It is important to remember that price forecasts, especially for something as potentially volatile as crypto, very often end up being wrong. Also, keep in mind that many longer-term crypto price predictions are made using an algorithm, which means that they can change at a moment’s notice.
First, CoinCodex had a short-term Covalent price prediction which said that the token would be somewhat volatile in the coming weeks, with it dropping to $0.1012 by 23 July and reaching $0.1204 by 17 August. The site’s technical analysis was, perhaps unsurprisingly, bearish, with 18 indicators sending discouraging signals and just eight making bullish ones.
When it came to other sites making their Covalent price predictions for 2023, DigitalCoinPrice said it would thrive in the coming months, reaching $0.23, while Bitnation said CQT would get to $0.1623. PricePrediction.net , on the other hand, was more cautious, forecasting Covalent to stand at $0.13 this year.
In terms of a Covalent price prediction for 2025, Bitnation thought the token would reach $0.3787, while DigitalCoinPrice went a bit higher at $0.39. PricePrediction.net, meanwhile, said that CQT would trade at $0.26 in two years time.
Moving forward to a more long-term Covalent price prediction for 2030, PricePrediction.net said that the token would soar to $1.58 that year, with DigitalCoinPrice saying it would hit $1.12. Bitnation had a CQT price prediction that said the crypto would trade at $0.9197 at the start of the next decade.
It is hard to say. The CQT token has made a recovery recently, admittedly from a very low point, but we don’t know how long things will last, or where they will get to.
Although Covalent provides a useful service, it has still yet to truly catch on with the wider crypto public, and it will be interesting to see what the platform can do to really grab people’s attention.
As ever with crypto, you will need to make sure you do your own research before deciding whether or not to invest in CQT.
No one can really tell right now. While the Covalent crypto price predictions are largely positive, price predictions have a well-earned reputation for being wrong. Keep in mind, too, that prices can, and do, go down as well as up.
Before you decide whether or not to invest in Covalent, you will have to do your own research, not only on CQT, but on other, related, coins and tokens such as Ocean Protocol (OCEAN) and The Graph (GRT). Either way, you will also need to make sure that you never invest more money than you can afford to lose.
On 19 July 2023, there were about 607 million CQT in circulation out of a total supply of one billion.
It might do, but not for a little while yet. PricePrediction.net says it will get there in 2029, while DigitalCoinPrice thinks that 2030 is the year it will happen and Bitnation predicts it will reach that target in 2031. Keep in mind that Covalent has traded above the dollar before, most recently in December 2021.
The CQT token is used to support the Covalent crypto data platform. Holders can vote on changes to the network, it can be staked in return for rewards and it is used to pay for queries on the system. It can also be bought, sold and traded on exchanges.
Please note that the contents of this article are not financial or investing advice. The information provided in this article is the author’s opinion only and should not be considered as offering trading or investing recommendations. We do not make any warranties about the completeness, reliability and accuracy of this information. The cryptocurrency market suffers from high volatility and occasional arbitrary movements. Any investor, trader, or regular crypto users should research multiple viewpoints and be familiar with all local regulations before committing to an investment.