What could affect the price of ALGO?
Algorand’s price depends largely on real-world use, changes in how it’s governed, and overall market trends.
- Tokenization Growth – Aiming to tap into the $18.9 trillion real-world asset (RWA) market with infrastructure upgrades planned for 2025 and beyond.
- Governance Changes – The new xGov system gives more control to network participants over funding decisions, live since August 2025.
- Regulatory Challenges – FIFA switching its blockchain platform to Avalanche reduces Algorand’s exposure to high-profile projects.
Deep Dive
1. Real-World Asset Expansion (Positive Outlook)
Overview:
Algorand’s roadmap for 2025 and beyond focuses on turning traditional financial assets like debt and equity into digital tokens using ACTUS standards. A minimum viable product (MVP) for tokenized debt is expected in late 2025. Partnerships such as VersaBank’s tokenized deposits (USDVB pilot) and Midas’ mTBILL offering a 4.06% yield show growing interest from institutions.
What this means:
If successful, this could increase demand for ALGO tokens as they would be used for transaction settlements and other utilities. Tokenized assets on Algorand grew 94% to $134 million in July 2025 (CoinJournal), indicating early adoption momentum.
2. Decentralization Pressures (Mixed Impact)
Overview:
The xGov governance system shifts grant funding decisions to node operators, reducing the Algorand Foundation’s control. Currently, 1.9 billion ALGO tokens are staked, with a 179% increase in nodes since January 2025. However, some critics worry about Algorand Inc’s large holding of 2 billion tokens (over 30% of total supply), which could impact the market if sold.
What this means:
Giving the community more control improves trust but comes with risks in execution. The recent 27% price drop over the past month partly reflects concerns about token supply and market dynamics.
3. Regulatory & Competitive Headwinds (Negative Outlook)
Overview:
FIFA’s move to Avalanche for its NFT projects and investigations into Swiss gambling activities have hurt Algorand’s visibility. Ethereum remains the leader in real-world asset tokenization with $8.5 billion in total value locked (TVL), compared to Algorand’s $370 million (Crypto Times).
What this means:
Losing major partnerships could slow retail investor interest. ALGO’s 24-hour trading volume dropped 43% to $64 million, trailing competitors and increasing price volatility during broader crypto market downturns (global volume fell 55% last week).
Conclusion
Algorand’s price will likely fluctuate based on how well it can turn its technical advantages—like 10,000 transactions per second and compliance with ISO 20022 standards—into real business use, while managing token supply concerns. Key price levels to watch are support at $0.20 and resistance at $0.26. Will the xGov system’s community-driven grants make up for the loss of institutional hype after FIFA’s departure? Keep an eye on tokenization progress and staking activity in Q4.
What are people saying about ALGO?
The Algorand (ALGO) community is divided between optimism about a price breakout and concerns about weak fundamentals. Here’s the latest:
- Traders are targeting $0.50 based on positive chart signals and upcoming project milestones.
- The Algorand Foundation reports growth in real-world asset (RWA) investments and compliance with ISO 20022 standards.
- Short sellers are aiming for $0.14 due to a sharp drop in on-chain revenue since early 2024.
In-Depth Look
1. Bullish breakout target at $0.50
John Morgan (@johnmorganFL) shared:
“ALGO broke through the $0.26 resistance level – if it holds above $0.245, $0.50 is next.”
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What this means: Breaking a key resistance level often attracts buyers, which can push prices higher. However, the Relative Strength Index (RSI) is at 83, indicating the coin might be overbought and due for a pullback.
2. Growth in real-world assets (RWA)
The Algorand Foundation (@AlgoFoundation) reported:
“As of June 2025, total value locked (TVL) in RWAs surpassed $90 million, up 6.6%, led by Lofty AI’s real estate projects. Smart contract usage increased by 22.6%.”
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What this means: This is a positive sign showing that Algorand’s technology is being used more in real-world applications. However, ALGO’s price has dropped 37.79% year-to-date, showing that market price isn’t fully reflecting this progress yet.
3. Bearish outlook targeting $0.14
An anonymous trader posted on CoinMarketCap:
“Short entry at $0.1816 with a target of $0.1460 – weekly fair value gap (FVG) suggests further downside.”
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What this means: This bearish view is supported by a steep decline in network revenue, which has fallen from $70,000 per day in 2024 to just $6,000 per day now. The $0.17 support level has been tested multiple times, so watch closely for a potential breakdown.
Conclusion
The outlook for Algorand (ALGO) is mixed. Some traders are optimistic about a breakout based on technical patterns and upcoming developments, while others are cautious due to weak revenue and a recent price decline. Real-world asset growth and roadmap updates provide some hope, but the market’s fear index and falling price suggest caution. Keep an eye on daily active users (1.26 million as of July 2025) and whether this leads to increased transaction fees after Tether phases out USDT on Algorand.
What is the latest news about ALGO?
Algorand is managing regulatory challenges related to FIFA’s NFT history while continuing to grow its ecosystem. Here are the key updates:
- FIFA Faces Criminal Charges Over NFTs (October 17, 2025) – Swiss regulators have filed charges against FIFA’s NFT platform, which was originally built on Algorand.
- Algoland Onchain Quest Reaches 50,000 Users (October 16, 2025) – A gamified campaign boosts network activity and developer participation.
- New CTO Hired to Strengthen Technology (September 29, 2025) – Former Ripple engineer Nikolaos Bougalis joins Algorand to help scale its infrastructure.
Deep Dive
1. FIFA Faces Criminal Charges Over NFTs (October 17, 2025)
Overview:
Swiss gambling regulator GESPA has filed a criminal complaint against FIFA, claiming that its NFT platform—originally launched on Algorand in 2022—violates gambling laws. The focus is on FIFA Collect’s “Right to Buy” NFTs, which gave users a chance to access World Cup tickets through a lottery-like system. Although FIFA switched to the Avalanche blockchain in 2025, this case highlights the regulatory risks involved with blockchain-based loyalty programs.
What this means:
This development is neutral for Algorand. The legal issues relate to FIFA’s activities after moving away from Algorand. However, increased regulatory attention on sports-related NFTs could slow down interest from institutions in similar projects for a while. On the positive side, Algorand’s strong compliance record may make it a preferred choice for future projects needing a clear regulatory path. (Yahoo Finance)
2. Algoland Onchain Quest Reaches 50,000 Users (October 16, 2025)
Overview:
Algorand’s 13-week “Algoland” campaign attracted over 50,000 users, generating nearly 290,000 transactions in its first week alone. Participants complete blockchain-based tasks like token swaps and NFT minting to earn points and compete for prizes totaling 100,000 ALGO. This campaign also served as a stress test, proving Algorand’s ability to handle high transaction volumes without downtime.
What this means:
This is positive news for ALGO. The campaign demonstrates real-world use cases and helps bring developers and users into decentralized finance (DeFi) and NFT projects such as Folks Finance and TravelX. Continued engagement like this could help reverse ALGO’s 37% price drop this year by showing that the network can support growing demand. (CoinTelegraph)
3. New CTO Hired to Strengthen Technology (September 29, 2025)
Overview:
Algorand has appointed Nikolaos Bougalis, a former lead engineer at Ripple, as its new Chief Technology Officer. Bougalis will focus on advancing Algorand’s roadmap, including enhancing quantum-resistant security, improving cross-chain compatibility, and developing enterprise-level tools like Algokit 4.0.
What this means:
This is a strong positive for ALGO. Bougalis brings deep experience in distributed ledger technology—he helped develop the XRP Ledger—and his expertise aligns well with Algorand’s goal to attract traditional financial institutions. His move to the U.S. also suggests closer collaboration with regulators. (Yahoo Finance)
Conclusion
Algorand is balancing past regulatory challenges with rapid ecosystem growth and important technical upgrades. While FIFA’s NFT controversy may cause some short-term uncertainty, the success of Algoland and the new CTO appointment point to stronger fundamentals ahead. With a focus on quantum security and real-world asset tokenization, ALGO aims to shift from retail speculation toward becoming a trusted platform for institutional use.
What is expected in the development of ALGO?
Algorand is moving forward with several key developments:
- Tokenized Debt MVP (Q4 2025) – Launching compliant on-chain debt instruments that connect traditional finance (TradFi) with decentralized finance (DeFi).
- Rocca Wallet Preview (Q4 2025) – Introducing a new wallet that doesn’t require seed phrases, designed for easy and secure use by everyday people.
- xGov Full Automation (Early 2026) – Automating community governance processes like grant approvals and voter updates.
- Algokit 4.0 Launch (H1 2026) – Releasing AI-powered developer tools to speed up smart contract creation.
Deep Dive
1. Tokenized Debt MVP (Q4 2025)
What it is: Algorand plans to roll out a basic version of tokenized debt products that follow ACTUS standards. This means bonds, loans, and other financial contracts can be created and managed directly on the blockchain in a way that meets regulatory rules (CoinMarketCap).
Why it matters: This could be a big win for ALGO because it helps bring traditional financial institutions into the blockchain world, potentially increasing demand for ALGO tokens. However, success depends on clear regulations and partnerships.
2. Rocca Wallet Preview (Q4 2025)
What it is: Rocca Wallet will remove the need for complicated seed phrases by using passkeys and decentralized identity technology. The preview version will let users test it before the full launch in mid-2026 (CoinMarketCap).
Why it matters: This could encourage more everyday users to try Algorand by making wallets easier and safer to use. But it will need to work smoothly with decentralized apps (dApps) and compete with popular wallets like MetaMask.
3. xGov Full Automation (Early 2026)
What it is: The xGov governance system will become fully automated, handling grant approvals and updating voter lists without manual oversight. The 2025 budget sets aside 3 million ALGO for ecosystem grants (Algorand Forum).
Why it matters: This move supports decentralized decision-making, which could boost developer involvement and help the network grow sustainably. The risk is that inexperienced voters might misuse funds.
4. Algokit 4.0 Launch (H1 2026)
What it is: The new Algokit will include AI-powered coding help, support for Rust and Swift programming languages, and ready-made smart contract templates. This aims to make building on Algorand faster and easier for developers (CryptoSlate).
Why it matters: If successful, this could attract more developers to Algorand. However, it will need strong marketing to compete with Ethereum’s well-established developer community.
Conclusion
Algorand’s roadmap combines technical improvements with strategic moves in tokenization and governance. By focusing on regulatory compliance and user-friendly tools, Algorand aims to stand out in the crowded blockchain space. The big question is whether these efforts will lead to steady growth and activity, or if ALGO will continue to be overshadowed by larger platforms.
What updates are there in the ALGO code base?
Algorand’s software has been updated to improve security, make developer tools easier to use, and add more flexibility to smart contracts.
- Security Fix & API Improvements (Oct 2, 2025) – Fixed security issues and gave developers better control over app transactions.
- LMSIG Support & Transaction Builders (Sep 12, 2025) – Added support for advanced multisignature setups and made smart contract interactions simpler.
- Faster Block Times (May 28, 2025) – Reduced the time it takes to confirm transactions to 2.8 seconds by making the network adapt to real-time conditions.
Deep Dive
1. Security Fix & API Improvements (Oct 2, 2025)
What happened: The Java SDK version 2.10.1 fixed a serious security flaw in a common software library and added a feature called reject-version for app calls.
This new feature lets developers specify which versions of smart contracts are allowed to run, helping prevent accidental or harmful upgrades. The security fix protects against potential data encoding attacks in third-party tools.
Why it matters: This update makes Algorand’s network safer for businesses and gives developers more precise control over their decentralized apps (dApps). This is a positive sign for ALGO’s future. (Source)
2. LMSIG Support & Transaction Builders (Sep 12, 2025)
What happened: The SDK version 2.10.0 added support for LMSIG (Leighton-Micali Signatures), a new type of multisignature that is resistant to future quantum computer attacks. It also introduced new tools to make building transactions easier.
LMSIG allows for complex, layered multisignature setups, which are important for large organizations managing digital assets. The new transaction builders simplify creating smart contract calls with specific permissions.
Why it matters: While this update doesn’t directly impact ALGO’s price, it gives developers more flexibility to build secure and sophisticated financial applications, supporting Algorand’s focus on institutional users. (Source)
3. Faster Block Times (May 28, 2025)
What happened: Algorand’s version 3.21 upgrade introduced dynamic round times, meaning the network now adjusts how fast blocks are created based on current network conditions.
This change cut the average block time from 3.4 seconds to 2.8 seconds without sacrificing decentralization. Instead of using fixed timeout settings, the protocol uses real-time data from network nodes to decide how quickly to produce blocks.
Why it matters: Faster transaction finality improves the experience for users sending payments or using decentralized finance (DeFi) apps. This could attract more high-speed applications to Algorand, which is a positive development for ALGO. (Source)
Conclusion
Algorand’s recent updates focus on making the network more secure, easier for developers to work with, and faster in processing transactions. These improvements strengthen ALGO’s position as a reliable blockchain platform for businesses and high-volume applications.
Looking ahead, features like adaptive block times and quantum-resistant signatures could encourage more companies to adopt Algorand in 2026.