AVAX, the native token that powers high throughput layer-1 blockchain protocol Avalanche, has pumped another 5.5% on Friday, takings its gain on the week to close to 10%, as the launch of a new SocialFi (web3 social media platform) called Stars Arena on its blockchain generates hype.
As per CoinGecko, AVAX is up close to 6% in the last 24 hours and 17% in the last seven days, making it the top-performing cryptocurrency in the top 20 by market capitalization over both time periods.
AVAX was last changing hands close to $10.70 per token, having broken convincingly to the north of both its 21 and 50-Day Moving Averages this week.
The cryptocurrency has arguably been in an uptrend since breaking out of a downtrend in late September that had been in play going all the way back to July.
Bulls are now eyeing a retest of resistance in the low $11s per token, where the late August high and 100DMA reside.
Avalanche On-chain Activity Jumps as Stars Arena Gains Traction
Daily transaction on the Avalanche blockchain hit their highest level since May earlier this week at above 550,000, as per snowtrace.io, in a sudden surge in on-chain activity that has been linked to the recent launch of SocialFi platform Stars Arena.
Stars Arena is an Avalanche-based fork of the Friend.tech, a crypto-powered social media platform designed to streamline the process of monetization of social media influencers and personalities.
As of the 6th of October, Stars Arena had a trade value locked (TVL) of $2.5 milllion, up from only around $30,000 on the day of the protocol’s launch last Wednesday.
That makes it the second largest SocialFi platform by TVL, second only to its predecessor Friend.tech.
Impressive growth continues despite the protocol’s users coming under attack soon after its launch.
Price Prediction – Where Next for Avalanche (AVAX)?
Assuming Stars Arena continues to attract interest to the Avalanche blockchain and drive up on-chain activity, this should continue to underpin the AVAX price and price predictions should remain bullish.
If the cryptocurrency is able to break to the north of the aforementioned resistance zone in the low $11s, a quick rally towards the 200DMA at $13.5 is on the cards.
That could mean quick gains of another 25% from current levels.
Crypto Investments Worth Considering
Blue-chip cryptocurrencies such as Bitcoin (BTC) and Ether (ETH) should form the bread and butter of any crypto investor’s portfolio.
But if investors want exposure to potentially exponential near-term gains, they should consider an alternative high-risk-high-reward investment strategy – investing in crypto presales.
This is where investors buy the tokens of up-start crypto projects to help fund their development.
These tokens are nearly always sold cheaply, and there is a long history of presales delivering huge exponential gains to early investors.
Many of these projects have fantastic teams behind them and a great vision to deliver a revolutionary crypto application/platform.
If an investor can identify such projects, the risk/reward of their presale investment is very good.
The team at Cryptonews spends a lot of time combing through presale projects to help investors out.
Here is a list of 13 of their favorite crypto presales for 2023.
See the 13 Cryptocurrencies
Disclaimer: Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. You could lose all of your capital.
Read the full article here