- January 10, 2024
- Posted by: [email protected]
- Category:
Avalanche (AVAX) witnessed a stunning jump in the fourth quarter of 2023, with significant gains owing to institutional interest and an increased focus on tokenization actions and broader partnerships. AVAX fell 18% this year, matching the broader market’s correction, which hit top assets like Bitcoin (BTC) and Ethereum (ETH) due to massive liquidations.
However, December was a standout month for AVAX, as it witnessed an impressive 138% surge, dominating the altcoin rally and becoming a central point of interest for traders. The bullish sentiment surrounding the token solidified among institutional investors during this period. AVAX’s growth propelled its value to $40, with a market capitalization exceeding $14.9 billion, defying the broader market plunge.
The past year marked a significant turnaround for AVAX, as it recovered from losses incurred during the previous bear market caused by macroeconomic factors and industry collapses. Reports indicate that the token’s growth during this time was fueled by increased activity and strategic partnerships aimed at advancing tokenization efforts.
Despite a recent downturn, AVAX has only experienced an 18.13% decline year-to-date and a 5.91% drop in the last 24 hours. Notably, its 24-hour trading volumes have increased by 29.63%, reaching $737 million. Currently valued at $32.53, AVAX holds the ninth position in market capitalization, with the community anticipating further inflows. The asset has managed to retain a 20% monthly gain from the previous year, showcasing resilience amid the overall decline in market momentum.
As the previous year concluded on a positive note, expectations for increased inflows in the current year were somewhat hindered in the first week, marked by a significant market sell-off. On January 3, Bitcoin experienced a substantial 10% price slump, erasing almost all gains recorded in the initial two days of the year.
The market was optimistic about the approval of a spot Bitcoin ETF in the United States by the Securities and Exchange Commission (SEC), which had consistently rejected previous applications citing concerns about market manipulation. Analysts predicted that ETF approval could open a new window for institutional investors, potentially attracting trillions to the market. However, optimism waned when Matrixport, a cryptocurrency service company bullish on an ETF, released a report suggesting that all ETFs could face rejection in January, leading to a slip in the market.
