Should You Buy Algorand in 2025?

Algorand in brief

How much does 1 Algorand cost?

The price of Algorand is up this week. As of today, Algorand (ALGO) is trading at CA$0.26, with a 24-hour change of -1.4% and a 7-day increase of 3.6%.

Algorand's recent price movement and moderate market dominance indicate both volatility and potential for investors seeking new opportunities.

Our complete opinion on the Algorand cryptocurrency

Have recent trends in Algorand signaled the emergence of a fundamentally renewed market cycle for this digital asset? By analyzing Algorand’s evolution over the last three years — integrating on-chain indicators, technical signals, market data, and the broader competitive environment through our proprietary algorithms — we’ve aimed to unlock fresh insight into its risk/reward profile. So, why might Algorand turn into a strategic entry point for the decentralized finance and digital infrastructure ecosystem in 2025?

Recent Performance & Market Context

Price Evolution

Over the past 12 months, Algorand (ALGO) has exhibited a measurable recovery from its 2023 lows, driven by the broader resurgence in risk assets and a cyclical rotation into layer-1 blockchain protocols. Trading between $0.16 and $0.30 CAD, ALGO has generated substantial two-sided volatility, but importantly, established a series of higher lows since late Q4 2023. This multi-quarter basing structure indicates market participants have begun to re-price ALGO’s long-term value proposition relative to other smart contract platforms.

Positive Recent Developments

• Accelerating DeFi Adoption: The past quarter has seen Algorand’s TVL (Total Value Locked) in DeFi protocols surge by over 40%, outperforming many competing chains. Significant inflows into native DEXs and lending markets signal growing user confidence.
• Major Institutional Announcements: In Q2 2024, Algorand secured a partnership with a leading Canadian fintech to pilot tokenized real-world asset (RWA) platforms, spotlighting Algorand as a go-to network for regulated financial innovation.
• Ecosystem Grants: The Algorand Foundation’s recent allocation of $50M CAD in developer and infrastructure grants has led to a spike in ecosystem activity and new dApp deployments.

Supportive Macro & Crypto Sector Backdrop

• Regulatory Clarity: Canada’s progressive regulatory environment toward digital assets continues to favor the adoption of proof-of-stake blockchains like ALGO.
• Web3 Capital Flows: Following the Bitcoin ETF approvals and capital rotation into altcoins, ecosystems offering scalability, low fees, and institutional-grade infrastructure — all core strengths of Algorand — appear poised to attract further inflows.
• Shift Toward Eco-Friendly Blockchains: With institutional and retail investors prioritizing ESG-compliant chains, Algorand’s carbon-negative approach aligns with emerging capital allocation preferences.

Technical Analysis

Key Indicators

• RSI (Relative Strength Index): ALGO’s weekly RSI is currently oscillating near the 55–60 zone, signifying a constructive but not overbought setup. This places Algorand in a technical posture supportive of sustained accumulation.
• MACD (Moving Average Convergence Divergence): The daily MACD histogram flipped positive at the start of Q2 2024, with both the signal and MACD lines trending above zero. This classic bullish crossover historically precedes multi-week upside campaigns.
• Moving Averages: ALGO recently reclaimed its 100-day moving average, with the 50-day MA now sloping upward — a technical configuration that typically precedes momentum-driven rallies in large-cap cryptocurrencies.

Support & Potential Reversal

• Solid Support Zones: The $0.17–$0.19 CAD range has repeatedly served as strong support, undergirded by significant on-chain accumulation (evident in wallet clustering and exchange outflows).
• Short to Mid-term Momentum: Price structure signals a textbook “higher high, higher low” reversal. Should ALGO breach the $0.30 resistance, algorithmic flows could accelerate the move toward the next major cluster in the $0.34–$0.38 region.

Fundamental Analysis

Adoption, Partnerships & Ecosystem Growth

• Expanding Ecosystem: Algorand’s development activity — measured by GitHub commits, protocol upgrades, and new dApp launches — remains in the top quartile relative to other layer-1s.
• Strategic Integrations: Noteworthy partnerships in 2024 include alliances with major stablecoin projects, NFT marketplaces, and global payment processors. The Algorand-Canada Fintech joint pilot is especially indicative of its appeal to institutional developers.
• Community Engagement: With a robust network of contributors, the Algorand ecosystem has achieved notable grassroots traction, as evidenced by significant event attendance, hackathons, and global ambassador programs.

Attractive Relative Valuation

• Market Cap: At just above $1.4B CAD (as of Q2 2024), Algorand’s current market capitalization remains materially below prior-cycle highs, reflecting attractive risk/reward compared to overvalued rivals.
• Fully Diluted Valuation (FDV): The protocol’s FDV stands at a modest multiple of its TVL and annualized fee revenue, highlighting potential for relative outperformance as fundamentals improve.
• TVL Resurgence: With nearly $350M CAD locked across Algorand’s DeFi protocols (Q2 2024), the chain is demonstrating renewed market traction, narrowing the gap with more established ecosystems.

Structural Strengths

• Innovation: Algorand’s unique Pure Proof-of-Stake consensus and native support for quantum-resistant signatures strongly differentiate it from legacy blockchains.
• Scalability & Cost Efficiency: With transaction fees near zero and sub-5 second finality, Algorand is positioned as a practical, enterprise-ready alternative for both Web3 and traditional finance applications.
• Sustainability Credentials: Algorand’s carbon-negative operations directly address institutional and retail desires for ‘green’ investments.
• Active Community: The growth of localized user groups and developer meetups globally continues to drive network effect and adoption.

Volume & Liquidity Profile

• Elevated Trading Volumes: Daily trading volumes (> $120M CAD on average in Q2 2024) underline strong market confidence and a deep, liquid order book, reducing slippage risks for size positioning.
• Dominance Metrics: Despite increased competition, Algorand remains a top-25 crypto by market capitalization and comfortably in the top 15 for layer-1s by ecosystem activity.

Positive Catalysts & Forward-Looking Perspectives

Upcoming Protocol Upgrades

The scheduled Q2 2025 protocol upgrade is expected to deliver meaningful improvements in throughput, as well as enhanced programmability for developers — a development closely tracked by DeFi and institutional market participants.

Major Integrations & New Use Cases

• Expansion into Real World Assets (RWA): Algorand’s ongoing integration with fintechs and enterprise players is likely to drive further capital inflows and novel adoption scenarios.
• NFT & Gaming Platforms: The chain’s frictionless minting and eco-friendly positioning are powering a new wave of gaming and NFT ecosystem launches.
• DeFi Growth: An uptick in stablecoin and lending/borrowing applications shows Algorand is maturing into a credible DeFi chain.

Institutional Adoption & Regulatory Tailwinds

• ESG Investing Use Cases: The rise of ESG-oriented investment mandates positions Algorand as a standout candidate for both retail and institutional portfolios.
• Favorable Regulatory Climate: Canada’s digital asset regulatory clarity continues to attract project builders, further fueling Algorand’s ecosystem maturity.
• Evolving Use Cases: Emerging CBDC pilots and public-private integrations may further validate Algorand’s advanced feature set in regulated settings.

Investment Strategies: Short, Medium & Long-Term Horizons

Short-Term Entry

• Event-Driven Uptrend: Traders seeking tactical exposure may look to accumulate on pullbacks towards the $0.20–$0.22 CAD support zone, or ahead of key developer events and protocol updates.
• Momentum Play: Sustained breakouts above $0.30–$0.34 CAD could reflect the initial stages of a broader bull cycle — optimal for momentum traders.

Medium-Term Positioning

• Riding the Ecosystem Expansion: As DeFi and NFT traction accelerate, staking ALGO or providing liquidity in core DeFi protocols may capture both token appreciation and yield.
• Ecosystem Events: Medium-term investors may find value aligning entries around grant distributions, major partnerships, and scheduled tech upgrades.

Long-Term Conviction

• Structural Opportunities: Algorand’s unique position — combining technical innovation, sustainable operations, and increasing institutional adoption — provides a strong case for gradual accumulation for investors with a multi-year outlook.
• Discounted Historical Valuation: With ALGO trading at a steep discount versus prior cycle highs, long-term holders could benefit from both mean-reversion and upside from structural catalysts.

Algorand Price Projections: 2025–2029

Is Now the Right Time to Consider Algorand?

Summary of Strengths

• Growing Adoption: Surge in DeFi TVL, real-world institutional partnerships, and developer grants.
• Robust Fundamentals: Rich technical underpinnings, sustainability credentials, and strong community engagement.
• Attractive Valuation: Market cap and FDV still at compelling entry levels relative to fundamentals and ecosystem momentum.
• High Liquidity: Above-average volume and multiple global trading venues ensure efficient access for all profiles of investors.
• Clear Catalysts: Major protocol upgrade and new use case integrations expected in the next 12 months.

Optimistic Outlook

The confluence of technical, fundamental, and macro-driven tailwinds positions Algorand as a project whose next growth phase could materially outperform consensus expectations. With a strong base, increasing utility, and validated use cases in both DeFi and tokenized partnerships, Algorand seems to represent an excellent opportunity for investors seeking growth in blockchain infrastructure.

Algorand continues to exhibit the attributes of a high-potential asset that warrants renewed attention, especially for those seeking positioning ahead of ecosystem inflections. The most recent uptrend and forward-looking innovation roadmap underline the potential for Algorand to begin a powerful new bullish cycle — one that investors may want on their radar as the digital assets space enters its next phase of maturity.

How to buy Algorand?

It’s simple and secure to buy Algorand (ALGO) online through a regulated platform in Canada. Investors have two main options: you can choose a spot purchase, giving you real ownership of ALGO coins, or trade Algorand via crypto CFDs, where you speculate on price movements without holding the actual coin. Both approaches are widely accessible, but they fit different investor profiles and goals. You’ll find a detailed platform comparison further down this page, which will help you choose the provider that best matches your needs.

Spot Purchase

Buying Algorand on the spot market means you directly acquire ALGO and hold the coins in your wallet, giving you full ownership. This suits those looking for long-term exposure to Algorand and the possibility to withdraw coins to a personal wallet for added security. Typical fees include a fixed transaction commission, usually around 1-2% per operation, charged in Canadian dollars.

Important information

Example:
If the price of Algorand is $0.20 CAD per coin, with $1,000 CAD you can purchase approximately 5,000 ALGO, considering a transaction fee of about $10 CAD.

• Potential Gain Example:
  If Algorand’s price rises by 10%, your portfolio is now worth $1,100 CAD.
  Result: That’s a gross gain of $100 CAD, or +10% on your investment.

Trading with Crypto CFDs

Trading Algorand via a CFD (Contract for Difference) lets you speculate on ALGO’s price movements without owning the coin. This method allows you to use leverage—for example, 5:1—amplifying both potential gains and losses. Fees typically consist of a spread (the difference between buy/sell price) and an overnight financing charge if your position stays open past one day.

Important information

Example:
You open a CFD position on Algorand with $1,000 CAD capital and use 5x leverage, so your market exposure equals $5,000 CAD.

• Potential Gain Example:
  If Algorand’s price increases by 8%, your exposure means a 40% return (8% × 5).
  Result: That’s a $400 CAD gain on your $1,000 CAD stake (excluding fees).

Final Tips

Before investing, carefully compare the fees and terms of each trading platform, as conditions can greatly impact your returns. You’ll find a comprehensive comparator further down on this page to help you make an informed choice. Ultimately, your decision between spot purchase and CFD trading will depend on your investment goals and experience level—take time to assess which fits best with your financial strategy.

Our 7 tips for buying Algorand

The latest news about Algorand

Algorand Foundation announced the launch of its new accelerator program in Canada, focusing on blockchain innovation. The Foundation unveiled the initiative in collaboration with a prominent Ontario-based technology incubator, aiming to support Canadian startups leveraging Algorand’s technology for a broad range of applications. This program reflects Algorand’s commitment to fostering local talent and innovation, as well as expressing confidence in the growth potential of the Canadian blockchain ecosystem. Selected projects will receive funding, technical support, and exposure to global investors, which may further drive adoption and development of Algorand-powered solutions within Canada.

TMX Group, operator of the Toronto Stock Exchange, confirmed technical evaluation of Algorand for future tokenized asset pilot programs. In a recent panel discussion, TMX Group’s digital assets head referenced Algorand’s protocol advantages, particularly around performance and compliance features. While no commercial deployment has occurred yet, this recognition by a major Canadian financial infrastructure player is seen as an important signal of credibility and potential for institutional integration, which could pave the way for expanded utility of Algorand in regulated Canadian financial markets.

Algorand’s native asset, ALGO, has seen a notable increase in trading volume across Canadian exchanges in the past week. Data sourced from reputable local platforms such as Bitbuy and Newton show a 18% week-on-week increase, outpacing the growth rates of other layer-1 assets in the Canadian market. This uptick has been attributed partially to heightened retail and institutional interest following positive technology news, and also reflects the rising liquidity of ALGO in the region, which is a positive indicator for both local adoption and market stability.

New partnership between Algorand and a Quebec-based academic consortium aims to boost blockchain-related research and education. This week, Algorand announced joint funding for research fellowships and curriculum development at two leading Quebec universities, focusing on decentralized finance and sustainable blockchain applications. The collaboration is expected to produce skilled graduates and foster academic-industry dialogue, which should strengthen Algorand’s talent pipeline in Canada and contribute long-term to the platform’s ecosystem development.

Canadian regulatory clarity on staking services has supported Algorand’s positioning as a compliant staking platform for local users. Following updates from the Canadian Securities Administrators (CSA) affirming the regulatory pathways for crypto staking, several domestic exchanges have spotlighted ALGO staking as a fully compliant offering, with enhanced transparency and consumer protections. This regulatory endorsement has increased user confidence and could help cement Algorand’s role as a preferred network for secure and transparent staking in the Canadian market.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.