Top 4 reasons the Avalanche crypto price is about to roar

The Avalanche crypto price has moved sideways in the past few days despite making substantial progress in its ecosystem growth. AVAX token was trading at $23">Copy link

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Additional data indicates that the Avalanche ecosystem is experiencing growth. Its DeFi network has a total value locked (TVL) of $2.7 billion, with top names like Aave, Benqi, Euler, and Blackhole having the most market share.

Avalanche has become a major player in the decentralized exchange (DEX) industry. Dapps in its network processed tokens worth over $440 million in the last 24 hours, making it the 8th biggest chain. This growth has brought its 30-day volume to over $11.4 billion.

The other key part of Avalanche’ ecosystem that is growing is its stablecoin. It has become the ninth-largest player in the sector, with $1.67 billion in supply. Recent data shows that the stablecoin volume jumped to almost $200 billion in the last 30 days.

Avalanche has had other major partnerships, including with FIFA and BlackRock.

Avalanche price has strong technicals

The other notable catalyst for the AVAX price is that it has formed the highly bullish inverse head-and-shoulders pattern. In this case, the head section is at $15.5, its lowest level this month. The shoulder section are at $18, and the neckline is at $26.80.

Avalanche crypto price has also moved slightly above the 50-day and 100-day Exponential Moving Averages (EMA), a sign that bulls are gaining control. Therefore, the token will likely continue rising, with the initial target being at $38, its highest level since January this year.

AVAX price chart | Source: TradingView

High staking yield

The other important catalyst for the AVAX price is that it has a high staking yield, making it ideal for income investors. AVAX boasts a staking yield of 8%, surpassing that of tokens like Tron, Cardano, and Solana. Data shows that it has a staking market capitalization of $5.32 billion and a staking ratio of 49%.

Investing in a token with a high staking yield helps to offset the price declines. In this case, if AVAX price falls by 10% a year, it means that its total return is minus 2.8% a year.

The post Top 4 reasons the Avalanche crypto price is about to roar appeared first on Invezz

Top 4 reasons the Avalanche crypto price is about to roar

Avalanche price has strong technicals

High staking yield

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