The price of Firo (FIRO) has been on the rise. It is currently trading in the green zone following a major development from Binance in particular. One of the largest cryptocurrency exchanges globally, Binance has recently shown its support for Firo.
Firo is up for a future network upgrade and hard fork. This development has led to a surge in the price of the token. Over the last week, the FIRO price has risen by 6.34%.
As of this writing, FIRO is trading at $1.12, with a 24-hour price range oscillating between a low of $1.07 and a high of $1.14. The price spike is indicative of a growing market interest.
As evidenced in the 14.22% increase in trading volume reaching $938,262. Additionally, there is 3.47% surge in FIRO’s market capitalization which now stands at $15,891,209.
7-day FIRO trading chart: source Coinmarketcap
FIRO has a total supply of 21,400,000, but currently, only 14,116,681 are in circulation. This affects the market liquidity and price swings as more tokens get traded in the market.
Why This Network Upgrade and Hard Fork is Important
The upcoming network upgrade and hard fork for FIRO, set for September 16, 2024, are crucial for several reasons. The support of Binance will ensure a seamless process. Such a network upgrade is crucial to enhance the security, capacity, and overall efficiency of the blockchain network.
The said upgrade may also include a better security system that minimizes the possibility of a breach or an attack. Improvements are usually made to enhance the efficiency of blockchains, and this is also the same with FIRO.
This upgrade could help the network process more transactions at a time and therefore eliminate congestion as well as fees. Binance’s support ensures that users can keep on trading as the underlying network gets stronger.
The FIRO hard fork will affect its tokenomics, and accelerate the process of reaching the total supply of 21. 4 million tokens within the next 5–6 years and then gradually reducing the inflation rate to 0. 98% per annum.
This could have a positive long-term impact on the token price as it will limit inflation and reduce its availability in circulation. Thus, the technical aspects of Binance will not let the users miss out on these opportunities.
Another problem associated with hard forks is the network split, which raises questions and can lead to illiquidity. These are the benefits of Binance’s support that help keep FIRO’s network intact and diminish the possibility of a fork that can split the ecosystem of the token.
Binance’s strategy of suspending deposits and withdrawal services during the upgrade ensures that the user’s funds are secure while the network switches.
Upgrade Support from Binance
Similarly, Binance has previously supported other cryptocurrencies, including Neo (NEO) during its N3 Network Upgrade and Hard Fork this year. At that time, Binance restricted NEO deposit and withdrawal services before the upgrade that occurred at the Neo blockchain’s block height is 1,730,000.
The positive trend in the price of FIRO is an indication of the market’s high morale concerning the token after Binance’s statement. Since Binance has also supported other network upgrades, such as NEO, this is probably boosting the market makers’ participation. If the network upgrade continues without a hitch, as expected, this may also result in the price of FIRO continuing to rise in the coming days.
