The crisis of Terra’s stablecoin, TerraUSD (UST), and the decline of Terra’s LUNA token are deep pits in the overall crypto sentiment. All coins have witnessed some losses since this crash.
Avalanche (AVAX) plunged below the key support level at $51 on May 9, signaling the resumption of the bearish trend. 11% reduction in press time, Avalanche [AVAX] It lost more than 30% of its value in one day.
However, buyers were willing to bring prices back above breakdown levels. Here’s how.
The best thing about this is…
Avalanche is one of the fastest smart contract platforms in the blockchain industry. Well, as measured by time to completion. Avalanche is a fast, affordable and eco-friendly ecosystem. Over the past month, AVAX has increased its value by more than 86% despite the recent market pullback.
Continuing this trend, AVAX’s TVL has witnessed an uptrend following its analytics platform, DeFiLama. In just one day, the platform witnessed a 1.5% gain as the value pegged. cross 5.2 billion dollars. Indeed, the impressive figures provided an ongoing sell-sell scenario.
Today, the Avalanche network has an all-time high in daily trading volume.
The best thing is… We did this while *lowering* our fees. pic.twitter.com/JLPiGXRHRu
— Luigi Donorio Demeo 🔺 (@luigidemeo) May 13, 2022
Avalanche founder Emin Gun Sirer also reiterated the aforementioned milestones on Twitter. that Tweet:
“What if the system could increase throughput while lowering fees? Or when does the system improve performance while isolating costs? That’s right, we say it’s scale. today, right now”
Avalanche seemed to attract users who wanted Ethereum without losing cash on Ethereum’s high gas rates. And why not: different types of transactions require you to pay different transaction fees, but much less compared to ETH. The following table shows the transaction fee schedule.
Additionally, AVAX development activity was halted at press time. However, it was still strong and maintained its position in the 10-30 range at the time. In fact, development activity at the time of reporting was higher than when AVAX was trading at around $70. This can be seen as a sign of faith in the ecosystem.
In fact, the ecosystem has a strong finish by 2021.
So are all good?
AVAX’s rally in the past has been primarily based on DeFi growth in the Avalanche ecosystem. However, at press time, AVAX was trading near $31, making a 9% correction. Further declines could be expected, especially given the growing fear within the crypto market with the current price performance.