The Next Few Days Will Show Whether Kaspa (KAS) Price Clears $0.05 or Retreats to $0.01

Kaspa is moving toward a moment that could define its year. On May 5, 2026, the network plans to roll out a hardfork designed to introduce programmable covenants directly into its core layer.

The upgrade is expected to bring native assets and smart contract functionality directly to Layer 1. A new high-level language called SilverScript has already been introduced to support this transition.

Kaspa (KAS) just crossed 600 million total transactions, a reminder that the network is actually being used and that its BlockDAG design isn’t just theory. 

However, issuance is tightening. By July 2026, roughly 95% of all KAS will already be mined, which means far fewer new coins hitting the market. Under the hood, that’s solid progress. On the screen, though, price action hasn’t caught up yet.

What the Kaspa Chart Is Showing Right Now

Price action tells a cautious story. The Kaspa price has been in a steady downtrend since late 2025. Lower highs and lower lows have defined the structure. Every rally attempt has faded before reclaiming prior resistance zones.

On the current chart, price is hovering near the $0.03 area after a sharp drop earlier in February. That flush marked a local bottom near $0.028 before a modest bounce.

There is a weekly supply zone sitting above, acting as an obstruction. That area has capped price several times. If the Kaspa price cannot break through it cleanly, the broader downtrend remains intact.

On the upside, the key level to watch is $0.05. That zone marks prior resistance and would signal a structural shift if reclaimed with strength. A sustained move above $0.05 could open the door toward $0.06 and higher.

On the downside, the KAS chart also shows a potential monthly objective near $0.01 if current support fails. That level aligns with deeper historical support and represents a major psychological line. The next few days will likely determine which side gains control.

Source: TradingView.com

Catalysts That Could Push Kaspa Price Higher

Fundamentally, there is no shortage of bullish narratives. The May hardfork is the biggest near-term catalyst. If programmable covenants launch smoothly, Kaspa moves beyond pure peer-to-peer transfers and enters a more flexible ecosystem model. 

Native assets, DeFi mechanics, and zero-knowledge capabilities could expand its use case significantly.

The supply schedule also plays a role. Kaspa’s emission curve means new token issuance is shrinking fast. With about 95% of total supply mined by July 2026, miner sell pressure naturally declines over time.

Then there’s the performance angle. Some community voices argue that Kaspa’s speed, finality, and sub-penny transaction fees position it as a strong infrastructure layer for AI-driven systems. 

Others highlight long-term block-per-second targets of 25–40 BPS by Q3 2026, with 100 BPS in sight for 2027. If those milestones are achieved, scalability becomes a major selling point. But narrative alone does not move price in a weak market.

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Meanwhile, Kaspa’s network metrics are solid. Six hundred million transactions is not a small number. Developer tools are expanding. Block production remains strong.

Still, the KAS price has taken a hit. It’s down about 50% over the last three months, and the mood across the altcoin market hasn’t exactly helped. A lot of coins are stuck under their long-term averages, and that keeps rallies on a short leash.

If Kaspa wants to get back above $0.05, it can’t be a quick spike that fades in a day. There’s supply sitting overhead from traders who bought higher and may look to exit on strength. That wall has to be chewed through and turned into support.

If the KAS price keeps getting pushed back from that weekly zone, gravity stays in control. Lose the current base, and the conversation shifts toward $0.02, and in a worst-case slide, even $0.01 comes back into view.

Decision Point Ahead for KAS 

Kaspa stands at an interesting crossroads. On one side, there’s a major hardfork planned that includes tighter supply, increasing transaction milestones, and long-term scalability objectives. On the other side, there’s a chart that still looks bearish in nature, coupled with an overall market that’s not fully embracing risk.

If the buyers do emerge and drive the Kaspa price above the level of $0.05, then things could turn quickly. If support cracks, the downside scenario becomes harder to ignore.

The coming days will tell the tale. Until then, Kaspa finds itself in a position with strong fundamentals and a weak technical setup, with the market to decide which is more important.

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The post The Next Few Days Will Show Whether Kaspa (KAS) Price Clears $0.05 or Retreats to $0.01 appeared first on CaptainAltcoin.