Helium (HNT) virtuous loop bodes well for low cost IoT enabler in 2022

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Helium’s banner 2021 saw its individual IoT hotspots increase from less than 15,000 to more than 400,000. Utility growth of this mint and burn token was rewarded with 2,845% appreciation from 1/1/21 through 12/25/21.

On 12/22/21 Investors Observer rated Helium (HNT) “very bullish.”

Pinned as the new sensation of the Internet of Things (IoT) cryptocurrencies and aimed at bettering communities, the Helium blockchain is less than a decade old but has had a rather successful 2021.

Developed with the goal of creating a physical, decentralized wireless network, Helium is paying individuals in Helium cryptocurrency (HNT) to operate LoRaWAN (a Low Power, Wide Area network protocol designed to wirelessly connect IoT devices to the world wide web) hotspots, which communicate to wireless internet connections, instead of producing such links themselves.

With a community of 421,915 total hotspots in 157 countries and with over 108m HNT circulating supply, the blockchain was ranked second among IoT tokens by its market capitalisation which surpassed $3bn beating IoT token giants like IOTA and IOTX.

The company aims to create a “people-powered network” by strengthening communities through a shared internet hotspots system instead of using big cellular towers to distribute wireless internet connection through communities.

The Helium coin enjoyed a positive start to 2021, with a surge of nearly 705% between March and November 2021, when the Helium coin value reached an all-time high of $55.22. Will NHT regain those highs and what factors are shaping the Helium crypto forecast going forward?

What is Helium coin?

Helium’s origins date back to 2013, when three individuals came together with one goal in mind: make building connected devices much easier.

The Helium  blockchain, however, launched six years later, on 29 July, 2019 powering the largest, public, decentralised LoRaWAN Network globally.

By using an algorithm-based mechanism called Proof of Coverage (PoC) to check the locations and legibility of hotspots, Helium rewards its users who are contributing to the distribution of the internet by allowing them to mine for the Helium token.

Once a user purchases a Helium hotspot, they become part of The People’s Network and thus, get the opportunity to mine for HNT.

Helium hotspot owners earn Helium tokens for providing internet to neighboring devices. Helium tokens can either be exchanged for data credits, US dollar-pegged utility tokens, which is what aids the hotspot device to surf the Helium network or simply to US dollars.

Individuals with hotspots receive a portion of Helium tokens based on how much they contribute to the network. Generally, HNT tokens can be earned in four simple ways:

  • By transferring data from devices on the Helium network. PoC is used to validate wireless coverage which amounts to approximately 0.9% of earnings.
  • By participating in PoC challenges and validating others’ wireless coverage. Each hotspot involved in the challenge will earn a portion of the HNT allocated for the task.
  • By monitoring PoC activity of other hotspots.
  • And by transferring data from devices on the network.

Helium also has a system of transaction fees which are paid in data credits.

A bullish start to the Helium token price

It has taken the HNT coin nearly two years to reach its first double digits, however, the token’s first noticeable surge was when it broke through the $1 barrier.

In August 2020, the company announced that it launched its data credits which boosted the token’s price by 250% between 11 and 17 August 11 2020.

This surge continued deep into September with the coin’s price rising up to $3.17 by the end of the month, however, soon dropping to values just above $1.

The Helium token to USD price surged once again in November,  rising from $1.35 on 18 November to $1.9 on the next day, when Helium announced the approval of the Helium Improvement Proposal 20 (HIP 20) that allowed for a maximum NHT supply limit of 223m. This surge in the coin’s price opened wide a door for more positive changes to come in 2021.

Helium to USD price chart, 2020-2021

In early March 2021, NHT’s price doubled after the company announced a series of updates like the launch of a new Helium Hotspot App.

In September 2021, the Helium Community voted to pass HIP 27, which made the company the first ever consumer-owned 5G network in the world. This meant that The People’s Network was accessible to even more people as it became available for mobile devices.

Following the 5G announcement, Helium opened up about its partnership with FreedomFi, boosting Helium coin value to reach its first peak of $26.38 on 24 August.

Latest news suggest more good things could follow

In the latest Helium coin news, the HNT coin carried on the momentum as the company announced a new partnership with network carrier DISH Network, the first major carrier to bring Helium 5G to people.

As a result, the Helium coin surged by 149% in less than two weeks rising from $21.37 to its new record-high of $55.22.

While November has been a spectacular month for the HNT coin value, it has fallen towards $45 by the end of the month. Since then, HNT has dropped even further, plummeting by over 20% to $35.92 at the time of writing (21 December).

At the start of December, the company announced that its blockchain had faced a series of disruptions between 15 and 23 November, which could have triggered the dip in the coin’s price.

Helium (HNT) price prediction 2022-2028

Despite the latest downward price action, algorithm-based forecasting service Wallet Investor gave a bullish HNT crypto price prediction noting that it is “an awesome long-term investment” adding that it has a long-term earning potential amounting to 98.16%.

Based on its analysis of the past price performance, Wallet Investor predicted that HNT will cost $68.201 in 2022 and will reach $214.579 by 2026.

DigitalCoinPrice supported the positive Helium coin price prediction, expecting the coin to grow to $59.98 in 2022. The forecasting service saw HNT rising to $70.05 by 2025 and eventually reaching $155.45 in 2028.

Invezz cryptocurrency analyst Milko Trajcevski called Helium a token that focuses on solving “real-world problems,” which, according to the analyst, was what made the cryptocurrency so popular.

“[HNT’s] community runs a series of wireless hotspots known as LongFi, which power the Internet of Things devices we use on a daily basis,” Trajcevski told Capital.com.

“For powering this network, they get HNT tokens. This means that it provides cheap, secure internet access on a global scale which is why we might have seen its value increase,” the analyst added.

Trtajcevski noted that because of this, HNT’s chances of appreciating in price over the next year are quite high.

“It’s currently at a value of $30.67 and has the potential to reach $45 throughout 2022 and maybe higher, depending on how widespread its adoption gathers. The more the community grows, the more value the entire system will have as a result,” he continued.

Note that price predictions can be wrong. Forecasts shouldn’t be used as a substitute for your own research. Always conduct your own due diligence before investing. And never invest or trade money you cannot afford to lose.

Original article can be found at: //capital.com/helium-hnt-price-prediction

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