Avalanche Captures Market’s Attention, 5x In A Month With Memes, Big Names, & A Massive Fund
While NFTs are currently ruling the market, Avalanche (AVAX) has managed to still attract attention and rally more than 352% in the last 30-days while Bitcoin and Ethereum gradually make their way upwards towards their all-time highs.
With a market cap of $8.75 billion, AVAX is the 20th largest crypto asset, trading at $50.93, down only 15.2% from its all-time high of $59.4 hit on February 10.
On July 21st, AVAX was trading under $10.
The highest funding rate on AVAX perpetual futures contracts is currently 0.1389% on OKEx while keeping just under 0.1% on most other exchanges. Meanwhile, for Bitcoin and Ether, the highest is 0.0691% and 0.0288% respectively on Bybit, according to Bybt. BTC -4.44% Bitcoin / USD BTCUSD $ 42,570.68
-$1,890.14-4.44% Volume 43.19 b Change -$1,890.14 Open $42,570.68 Circulating 18.83 m Market Cap 801.41 b 11 h Crypto Investors Approaching Large Institutions in Bond Market for Loans Against Digital Assets 12 h Cryptocurrency Market Tanks on the Same Old China Ban News, But Investors Who Sell Here Will End Up “Bummed” 13 h Twitter Chooses “Global, Barrier-Less Option” for Tipping and to Help Creators Join the “Decentralized Internet” ETH -5.87% Ethereum / USD ETHUSD $ 2,924.75
-$171.68-5.87% Volume 25.45 b Change -$171.68 Open $2,924.75 Circulating 117.66 m Market Cap 344.13 b 12 h Cryptocurrency Market Tanks on the Same Old China Ban News, But Investors Who Sell Here Will End Up “Bummed” 13 h JPMorgan says Institutional Investors Have Shown A 'Strong Preference' for Ethereum Over Bitcoin Since August 1 d 1Inch Moves to Arbitrum For Faster Throughput And Lower Gas Fees
$AVAX SZN 🔺
— Kyle Davies (@kyled116) August 24, 2021
While getting the support of Three Arrows Capital and popular trader Hsaka, it looks like AVAX also has Yearn Finance creator Andre Cronje on its side, who mentioned, “Avax is real tech, snowball is legit good,” in a tweet.
Besides AVAX, other L1 tokens that appear resilient are LUNA and SOL. SOL -4.49% Solana / USD SOLUSD $ 140.23
-$6.30-4.49% Volume 3.86 b Change -$6.30 Open $140.23 Circulating 297.28 m Market Cap 41.69 b 8 h Solana-Based DAO Developer, Grape Network, Raises $1.2 Million in Funding 1 d Wormhole Launches Solana-Ethereum Bridge to Move NFTs Cross-Chain 1 d Risk-on Assets Recover and Start Rallying After Fed Chair Pushes Back Decision on Tapering to November
Speculation around Avalanche soared after Avalanche Foundation’s $180m liquidity mining program announcement brought the DeFi blue chips Aave and Curve into the ecosystem.
“Opportunistic apes and fork developers attempting to get in early on this news propelled Avalanche DeFi TVL and AVAX token prices,” said Delphi Digital, which noted that the project is taking a page out of Ethereum sidechain project Polygon’s playbook by incentivizing blue-chip DeFi protocols, pumping base token, and reinvesting token into the ecosystem.
“It remains to be seen if Avalanche can emulate Polygon’s success – but the rush of mercenary capital flowing into the ecosystem is obvious,” it added.
This money flow can be seen in Avalanche’s TVL (total value locked), which has been on the rise since August 1st as it exploded from $163 million up to $1.5 billion, representing an 823% growth in less than a month.
On Avalanche, the algorithmic liquidity market protocol BenQi is currently leading in terms of TVL growth, which makes sense given that lending protocols tend to attract more deposits compared to AMMs. Other popular projects include Trader Joe, Yield Yak, and Snowball benefitting from yield farming season on Avalanche. Their tokens are also up 20% to 100% as well.
This week, another DeFi blue-chip, Sushi, joined the Avalanche Rush liquidity mining program, where each project will allocate up to $7.5M of liquidity mining incentives over a 3-month period. SUSHI -5.97% SushiSwap / USD SUSHIUSD $ 9.75
-$0.58-5.97% Volume 418.12 m Change -$0.58 Open $9.75 Circulating 127.24 m Market Cap 1.24 b 1 d 1Inch Moves to Arbitrum For Faster Throughput And Lower Gas Fees 4 d Even Ethereum Layer 2 Solutions Are Earning Significantly Higher Fee Revenue than Bitcoin 1 w AVAX Hits A New ATH as 3AC and Polychain Lead $230M Investment to Accelerate DeFi on Avalanche
Sushi’s next-generation AMM, Trident, is expected to provide its ecosystem with new features and abilities to maximize yield and efficiency.
“The Avalanche community is one of the most compelling reasons to align incentives with the Avalanche chain. We are a community-driven platform and admire the community focus in the Avalanche ecosystem and look forward to providing them with a positive DeFi experience,” said Sushi Lead Contributor, 0xMaki.
Another big catalyst for the project came in the form of the Avalanche Bridge (AB) launch.
The Avalanche Bridge (AB) is showing incredible success in its early days. More tokens will be made available in the future.
What tokens do you want to see on AB?
But more importantly, are you bridging? https://t.co/OlKrxahYS2
— Emin Gün Sirer🔺 (@el33th4xor) August 24, 2021
At the end of last month, Avalanche launched its months-old Avalanche Bridge (AB) that claims to be cheaper and aims to be the “growth engine” for the project’s future.
Avalanche Bridge itself and the memes around it have the community finding its next token to ape-in in AVAX.