With its price climbing 17% over the past seven days, Avalanche (AVAX) has lately been on a winning run. Right now, the cryptocurrency is trading at $28.12, up 7% over the past 24 hours alone. This abrupt increase fits a larger recovery across the crypto market driven by a significant shift in the US financial scene: the Federal Reserve’s decision to lower interest rates. Related Reading: XRP Price Surge Could Hit 9,470% — Analyst Predicts $27 Target In Bold Forecast The Fed lowered interest rates by 50 basis points on September 18, therefore defining the new range as 4.75%-5%. Aimed at helping to lower inflation and increase economic development, the Fed’s decision to drop rates is the first one in four years. Although the cut was anticipated, it nonetheless caused volatility in both conventional and cryptocurrency markets; AVAX turned up as one of the best performers. AVAX’s price projection is still quite positive meantime. With the cryptocurrency selling 227% below projected price projections for next month, a major surge could be just around the corner. DeFi Powerhouse In The Making The current price increase goes beyond simply macroeconomic considerations. As it keeps increasing its total value locked (TVL), Avalanche is also making great strides in the decentralize finance (DeFi) department. From 28.1 million AVAX in Q1 to 30.8 million AVAX in Q2, Avalanche’s TVL has climbed by 11% in recent months, data from DeFiLlama shows. The TVL across all protocols on the network as of September 18 stood at 38.63 million AVAX. Evaluating uptake and liquidity inside DeFi networks depends critically on TVL. Higher TVL usually indicates that more people are locking assets into DeFi systems, which would translate for increased pricing stability and long-term expansion for AVAX. AVAX Projections: Short-Term/Long-Term Technical indicators of AVAX point to a bright future. Supported by significant accumulation and improving market sentiment, analysts estimate the token might climb by 245% in the next three months. Six months from now, a 180.19% gain is expected; over the next year, a 166.37% rise follows. As Avalanche gets greater traction in both its DeFi environment and the larger crypto market, these forecasts confirm a productive months ahead. Related Reading: Cardano Goes Bullish On-Chain: Can ADA Price Catch Up? Fed’s Influence Although the rate decrease by the Federal Reserve has given the market great momentum, some experts think that its influence might be fleeting. Though the longevity of this surge is yet unknown, risk assets like cryptocurrencies generally react significantly to changes in interest rates. But given about half of AVAX holdings are currently in profit, investor attitude is generally positive. All eyes are on the token’s ability to shatter important resistance levels as Avalanche gains traction in the DeFi market. Should the state of the market remain positive, AVAX may be en route to both long-term and short term growth. Featured image from Pexels, chart from TradingView
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Disclaimer: The opinion expressed here is not investment advice – it is provided for informational purposes only. It does not necessarily reflect the opinion of BitMaden. Every investment and all trading involves risk, so you should always perform your own research prior to making decisions. We do not recommend investing money you cannot afford to lose.
Bitcoin Demand Surge: Binance Buyers Take Charge As Coinbase Premium Falls
A recent analysis from a CryptoQuant analyst, known by the pseudonym ‘Avocado Onchain,’ has highlighted a notable development in the Bitcoin market. According to the analyst’s observations, the Coinbase Premium, which tracks the price difference between Bitcoin on Coinbase and Binance, has turned negative. This indicates that the price of Bitcoin is lower on Coinbase compared to Binance, a signal that often points to a divergence in buying activity across different markets. Related Reading: Here’s Why A Green September Close Is Important For The Bitcoin Price Buying Pressure Shifts To Global Markets Despite the negative Coinbase Premium, the analyst noted that Bitcoin’s price has increased. This suggests that while US-based traders on Coinbase may not be driving the price up, there is significant buying pressure on Binance, a major exchange catering to global users. The analyst pointed out that the negative Coinbase Premium suggests buyers outside the US are more active, particularly on Binance, where the price is slightly higher. Negative Coinbase Premium Signals Strong Buying Pressure on Binance “During the current upward trend, the fact that the Coinbase Premium is negative while #Bitcoin’s price isn’t falling suggests that there is strong buying pressure occurring on Binance.” – By @avocado_onchain… pic.twitter.com/ipZ09cA1JK — CryptoQuant.com (@cryptoquant_com) September 20, 2024 This buying activity reflects a stronger demand for Bitcoin on international platforms. Adding to the analysis, Avocado noted that for Bitcoin to experience a more substantial price increase, buying pressure would need to continue its expansion globally, driven by fear of missing out (FOMO) across multiple regions. According to the analyst, this shift in buying pressure toward Binance is seen as a “positive sign” for Bitcoin’s price trajectory. Bitcoin Performance So Far Notably, Bitcoin’s price performance has reflected the positivity from this buying pressure shift. The asset has seen a significant increase in the past day, rising to above $64,000 in the early hours of Friday. However, Bitcoin has now seen a slight decrease from this 24-hour high to a trading price of $62,831, at the time of writing down by 0.7% in the past day. Notably, the increase in BTC price to over $64,000 also resulted in a brief spike in Bitcoin’s market cap valuation, rising by $20 billion to roughly $1.260 trillion before now sitting at $1.242 trillion at the time of writing. Related Reading: Bitcoin Price Pushes Higher As The Bulls Set Sights on $65K According to analysts, Bitcoin major rally is fast approaching. A crypto YouTuber known as Crypto Rover recently pointed out on X that the Bitcoin bull market usually starts 170 days after halving. Rover speculated that as the market currently stands 153 days after the halving, is it possible for history to repeat itself? Usually, the #Bitcoin bull market starts 170 days after halving. The market top is 480 days after halving. Currently, we are 153 days after the $BTC halving. Will history repeat? pic.twitter.com/O4Ey0vQa39 — Crypto Rover (@rovercrc) September 20, 2024 Featured image created with DALL-E, Chart from TradingView NewsBTC
Record $88.85M Inflow into US Bitcoin Spot ETFs on September 21, Trader T Reports
COINOTAG news reported on September 21, citing data from Trader T, that the US Bitcoin Spot ETF experienced a significant net inflow of 88.85 million US dollars yesterday. Breaking down NewsBTC