Why FLOW could be in for some interesting moves in the future

Despite the performance of its native cryptocurrency, The Flow maintains its focus on development. Its most recent announcement could be critical for the network’s future, particularly in terms of utility.

Flow has announced the availability of its Cadence smart contract language and key tools for building on its blockchain network.

The DZone developer community strongly supports the availability of these resources. More importantly, increased access to these tools has the potential to accelerate development within the FLOW ecosystem.


🛠 @DZoneInc share the essential tools for building on Flow and our smart contract language, Cadence!

 🧰 CLIs, IDE extensions, client libraries, local networks and more
🌊 How Flow tools compare to Ethereum tools

Learn more 👉 https://t.co/OFmIfhREiC pic.twitter.com/GPVXLq11nv

— Flow (@flow_blockchain) October 19, 2022

It will be interesting to see whether Flow is headed for a rapid development phase now that the development tools have been shared. The fast-tracked development of smart contracts and dApps will allow the network to unlock more utility and liquidity flow.

Speaking of development, the Flow blockchain maintained healthy development activity in the last four weeks. It particularly registered a notable uptick in the last 10 days but the same indicator portrays a slowdown in the last two days.

The availability of development tools will ensure that the network maintains healthy activity in the short to long term.

Flow’s social dominance saw a sizable uptick in the last 24 hours, at press time. The recent announcement might be a reason for the social dominance boost.

In fact, its weighted sentiment did not register a significant change despite the slight uptick in social dominance. This is likely because the news underscores the potential to influence FLOW’s demand over the long term.  More dApps on the network will boost the demand for the FLOW cryptocurrency.

The real impact will be evident as more development takes place over time. Investors should thus keep track of the number of dApps that will be rolled out on the platform henceforth.

Despite this, FLOW’s price action attempted a rally at the start of the week. It bounced from a $1.46 low to a $1.57 weekly high before being slapped down by sell pressure. It traded at $1.45, at press time.

Source: TradingView

FLOW’s downside did not push as low as it did in the previous week, indicating that there is some demand near the lower range.

Its price action reflects the prevailing market conditions underscored by low demand. The latter has been the case for NFTs which are among the biggest demand drivers for the Flow network. Total NFT trades volumes have dropped to the lower monthly range.

Source: Santiment

While the recent announcement represents a step in the right direction, it might not result in a favorable short-term impact. However, it might contribute to long-term growth and development.

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