Since hitting a low of $32.10 on Sept. 7, the price of AVAX has risen 111 percent to a new all-time high on Sept. 16, with a 200 percent increase in 24-hour trading volume to $2.8 billion.
The recent completion of a $230 investment round by significant capital funds, the continuous transfer of liquidity to the Avalanche network, and new integrations and protocol updates that help improve the user experience are three reasons for the rising price of AVAX.
On September 16, the price of AVAX jumped after it was announced that a number of significant funds, including Polychain Capital, Three Arrows Capital, and Dragonfly Capital, had participated in a $230 million fundraising round for the project.
This is the greatest investment into the Avalanche ecosystem so far, indicating that larger institutional actors are becoming interested in the Ethereum rival.
Migration from Ethereum
The constant flow of assets from networks like Ethereum to Avalanche to participate in its burgeoning decentralized finance ecosystem is a second cause for AVAX’s growing strength.
The total value locked (TVL) data given by Defi Llama shows that the TVL on Avalanche has been quickly growing since Aug. 19, reaching a new record high of $2.17 billion on Sept. 16.
The launch and expansion of numerous successful decentralized finance (DeFi) protocols on Avalanche, notably Benqi (QI), Trader Joe (JOE), and Pangolin, has contributed significantly to the increase in TVL.
AVAX’s worth has been boosted by a succession of collaboration and integration announcements that have piqued investors’ interest and brought attention to the project.
The Avalanche NFT ecosystem has seen a surge in interest as a result of a collaboration with Topps, a sports card and memorabilia firm, which debuted its “Inception” NFT digital collectibles series on the network.
AVAX Price Analysis
The technical analysis displays a strong bullish bias among moving averages and the MACD indicator. The momentum indicator, on the other hand, implies that sellers are also interested.
On the heels of strong purchasing interest, Avalanche’s price appears to be headed for a test of the pivot point at $72.34. The bullish bias will be confirmed if the price breaks through this level. Once this is accomplished, keep an eye on the $85.52 immediate resistance level.