Betty Botter had butter, but she said, “This butter is bitter. If I fry this bitter butter, my dough will be bitter.”
Taking ‘butter’ for tokens and ‘batter’ for your portfolio, what a tongue twister this is is understandable. Booyakasha! In all likelihood, it is not. Undoubtedly, an educated coin selection can increase the value of your portfolio. But then, what about the bear market.
As American-British investor John Templeton put it, “For those who are properly prepared, the bear market is not a disaster but an opportunity.” With this in mind, you might prefer to include crypto snow. And, where comes the question of sixty-four thousand dollars- Is AVAX a ‘knight in shining armor?’
Your ‘go figure’ solution
You wonder what these factors (among others) are that determine how cryptocurrency will perform in a bear market. Well, here is the amount of money the project has raised post-ICO. Surprisingly, Avalanche looks beyond its plebian siblings, in this respect. In fact, the big announcement in mid-April surprised investors after Ava Labs raised $ 350 million from many crypto venture capitalists. Thus, bringing the total post-ICO Avalanche funding to almost $ 700 million.
However, such funding could not help AVAX save itself from a gradual decline in April. To tell you the truth, on May 24, the token went down to 15% in a 24-hour period when competitors were at a 4-5% loss. Indeed, the token was caught in the UST chaos because of the Luna Foundation Guard.
Dolefully, at the time of this press release, AVAX changed its wallet at $ 22.91 with a 3.66% decline on the last day. However, a permabull who plans to go long will find it satisfying to know that the three Avalanche blocks, at press time, are secured by a set of 1,394 validators with each staking a minimum of 2000 AVAX to be locked for up to 14 days. so the transaction process. Also, Avalanche, at the time of writing, has 19,429 delegates. These delegates must stake a minimum of 25 AVAX over the last two weeks. Surprisingly, the staking prize for validators and delegators is 9.25% (annual average).
Metrics get to the end
Keeping validators and delegators aside, let’s take a look at the Avalanche from an Adoption perspective. In this regard, the number of unique addresses of the Avalanche C-chain clearly indicates that there is a daily increase in the ‘total of different addresses.’
In fact, more than three million unique wallets have been created alone in the C Avalanche chain. Furthermore, nearly two dozen additional subnets are being developed, at press time.
Furthermore, Total Value Locked (TVL) in the DeFi Avalanche protocol is at $ 3.87b with the AAVE V3 dominating 31.42%. Surprisingly, at the time of this analysis, there were approximately two hundred DApps living in Avalanche.
While the network looks fundamentally strong, development activity has been affected in recent times. Apparently, after May 28, it has gone down a lot. However, it should be noted that the metric experienced a spike in count submissions on May 23 to reach the 25 mark. Thus, it exceeded the five -month high mark in January.
Now, even if AVAX is aligned with the broader crypto market, it wouldn’t be a bad idea to allocate a portion of your crypto portfolio to tokens. Quite simply, the bull ride in the macro frame is undeniable. However, traders / investors should keep their risk appetite in focus before planning to enter or exit a position.
Disclaimer: The findings of the analysis below are the sole opinion of the authors and should not be construed as investment advice.