Will Avalanche’s dropping network activity end AVAX’s bull run?
- Unlike Avalanche’s network activity, its staking ecosystem witnessed growth.
- AVAX was up by more than 7%, and most metrics looked bullish.
Avalanche [AVAX] witnessed a substantial drop in its C-chain network activity last week. The episode was worrying, as it happened at a time when the entire crypto market was in a bullish phase.
Read Avalanche’s [AVAX] Price Prediction 2023-24
Though network activity dropped, AVAX’s price managed to correspond to the bullish market as its price surged by double digits in the last seven days.
Avalanche’s network activity has dropped
AVAX Daily, a polar X (formerly Twitter) handle that posts updates related to the Avalanche ecosystem, recently posted a tweet highlighting the blockchain’s C-chain’s performance from the last week.
🔺#Avalanche C-chain weekly on-chain status🔺
Transactions: 5.20M -33.98%
Max TPS Observed: 150 -56.67%
Gas Used: 6.42T -5.6%
— AVAX Daily 🔺 (@AVAXDaily) October 22, 2023
As per the tweet, the blockchain’s value stood at 5.2 million, which was a drop of nearly 34% from last week. On one hand, Avalanche C-chain’s maximum TPS observed declined by 57% last week, and on the other hand, its gas usage plummeted by over 5%.
It was interesting to note that while the blockchain’s network activity dropped, its staking ecosystem witnessed a boost last week.
A major reason behind the AVAX staking ecosystem’s growth was the token’s bullish price action.
Avalanche investors are profiting
According to CoinMarketCap, AVAX’s price rose by more than 14% in the last seven days. In fact, in just the last 24 hours, it went up by over 7%. At the time of writing, AVAX was trading at $10.65 with a market cap of over $3.7 billion, making it the 20th largest crypto.
Not only that, but AVAX’s trading volume has also surged substantially, alongside its Development Activity. AVAX’s demand in the derivatives market was also high, as evident from its green Binance Funding Rate.
How much are 1,10,100 AVAXs worth today?
A look at AVAX’s daily chart pointed out quite a few bullish indicators. For example, the MACD displayed a bullish edge in the market. Its Money Flow Index (MFI) went upward and was resting well above the neutral mark of 50.
However, Avalanche’s Chaikin Money Flow (CMF) looked concerning as it registered a downtick, which could restrict AVAX’s price from rising in the coming days.