Avalanche (AVAX) Raises $250 Million as TVL Hits 2-Year High

  • December 13, 2024
Avalanche (AVAX) Raises $250 Million as TVL Hits 2-Year High

Avalanche Foundation has actually raised $250 million through a personal locked-token sale led by Galaxy Digital, Dragonfly, and ParaFi Capital. AVAX costs acquired almost 9% after the statement to trade at $52.80.

As the crypto market kicks back following Bitcoin’s solidification above $100,000, AVAX appears to be preparing for a rally.

Avalanche Raises Funds Ahead of Upcoming Network Upgrade

Avalanche Foundation revealed that over 40 financial investment companies took part in the $250 million financing round. This statement follows the testnet launch of Avalanche9000 on November 25.

The Avalanche9000 upgrade is set up to go reside on the mainnet on December 16. This upgrade intends to decrease the blockchain’s release expenses by 99.9%, enable interchain interaction, and unlock over $40 million in designer benefits.

“Avalanche9000 is driving the next generation of scalable, purpose-built L1 blockchains. Over 500 L1 chains are currently in advancement throughout sectors like tokenization of real-world properties, commitment and benefits, video gaming, payments, and institutional programs,” Avalanche Foundation published on X (previously Twitter).

In the middle of all this, the Avalanche blockchain has actually struck another turning point. The network’s Total Value Locked (TVL) has actually crossed $1.65 billion, its greatest in practically 2 years. The development in TVL indicate Avalanche’s appeal in the decentralized financing (DeFi) sector, possibly drawing in brand-new users and capital.

Avalanche TVL Throughout 2024. Source: DeFiLlama

When it concerns the blockchain’s native token, AVAX has actually seen a considerable rise over the last 30 days. The token’s cost increased by 50% over the previous month to trade at $52.80 at press time.

In December, the token handled to cross $50 however appears to have actually stagnated around $52 after stopping working to hold above $54 on December 9. If the momentum following the statement holds, AVAX can move previous $60 and recover its earlier highs.

AVAX Monthly Price Chart. Source: BeInCrypto

The Relative Strength Indicator at 62 revealed that there is still space for a cost rise before striking the overbought zone. The Bollinger Bands even more validated this view by revealing that AVAX’s rate was getting in an unstable stage. The bands were broadening after a capture, which is a sign of a breakout.

Santiment information revealed that AVAX’s weighted belief was in the unfavorable area, which might trigger difficulty for the token. The strong volumes supporting the rate walking over the previous 24 hours reveal that there is need.

Additional information exposed that 80% of the addresses remained in earnings at press time, while 16% were ‘out of the cash.’ This implied that just 16% of AVAX holders remained in losses now. If there suffices need and AVAX rallies greater, then these holders might turn earnings or get in the break-even point.

Disclaimer

In adherence to the Trust Project standards, BeInCrypto is dedicated to objective, transparent reporting. This news post intends to offer precise, prompt info. Readers are encouraged to confirm truths separately and seek advice from with an expert before making any choices based on this material.

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