Algorand ALGO Holds at Critical $0.27 Support Amid Tether Withdrawal Concerns and Network Upgrades

Algorand's ALGO token is testing a crucial support level at $0.27 following a 6.13% daily decline, wiping out portions of last week's 30% rally. The cryptocurrency currently sits at a technical inflection point, with its RSI at 55.99 indicating neutral momentum while MACD divergence signals bearish pressure.

While network upgrades and staking expansion initially drove ALGO to $0.32 on July 22, the rally lost steam. Market sentiment remains divided between Algorand's strong fundamentals and concerns surrounding Tether's planned USDT withdrawal from the blockchain—a development that has dampened enthusiasm since July 25.

Price action reflects this tension: a 3.24% rebound on July 27 was quickly erased by a 5.34% drop the following day. Traders are now closely watching whether the $0.27 support will hold as institutional interest in blockchain improvements contends with stablecoin-related liquidity worries.