- Both Avalanche’s network activity and captured value increased over the last week.
- Market indicators looked bullish on AVAX.
Avalanche [AVAX] investors were rejoicing as the token’s price increased considerably in the last few hours. However, data suggested that the case with Avalanche’s network activity was different, as it dropped last week.
Is Avalanche’s network activity dropping?
AVAX Daily, a popular X handle that gives updates related to the Avalanche ecosystem, posted the blockchain’s weekly highlights on 8th February. The tweet showed that AVAX’s active addresses had dropped over the last few weeks.
Avalanche Subnet Weekly Stats
— AVAX Daily 🔺 (@AVAXDaily) February 8, 2024
Apart from that, the tweet also mentioned quite a few key metrics. For instance, AVAX’s number of subnets reached 103, while its total number of validators reached 1,700.
The blockchain processed over 7.6 million transactions last week, with a maximum of 215 transactions per second.
Since the daily active users’ graph dropped, AMBCrypto checked Artemis’ data to better understand the state of Avalanche’s network activity. Surprisingly, we found that Avalanche’s daily active addresses actually went up in the recent past.
Thanks to that, the blockchain’s number of daily transactions also gained upward momentum. Things in terms of captured value also looked pretty optimistic. This was evident from the rise in both Avalanche’s fees and revenue.
AVAX’s performance in the DeFi space also looked promising, as its TVL went up last week.
AVAX is pumping
AMBCrypto reported earlier that if AVAX managed to overcome the resistance level at $36.2, the possibility of the token touching $43 was high.
AVAX did gain bullish momentum in the last few hours as its price rallied. According to CoinMarketCap, in the last 24 hours alone, AVAX was up by more than 8%.
At the time of writing, AVAX was trading at $39.16 with a market capitalization of over $14.3 billion, making it the ninth largest crypto.
The good news was that the token’s volume also surged along with its price, meaning that investors were trading AVAX at its higher price. To further check whether the uptrend would last longer, AMBCrypt took a look at Avalanche’s daily chart.
Realistic or not, here’s AVAX market cap in BTC‘s terms
The token’s MACD suggested that the bulls were controlling the market. Its Chaikin Money Flow (CMF) also registered an uptick, indicating that investors might witness a continued price uptrend.
However, its Relative Strength Index (RSI) was about to enter the overbought zone. This might increase selling pressure on Avalanche, causing its price to plummet over the coming days.