The Crypto market is known for its uncertainties and fluctuations now and then. If a coin is performing well, then it may show poor performance the next moment. After certain major crashes of some big Cryptos and firms, investors are quite unsure about what may happen next!
Similar is the condition of Aptos or APT, which may still have a chance of having wings. Various factors are affecting this token’s price movements. With the base of having star founders and the disbelief of the entire market on the rally are leading to a rise in its price. Check the link to learn everything about Bitcoin Evolution.
This token is facing an all-time high coin of 20.39 USD after posting about the gains of a 400% increase with the start of this year. Let’s see some of the top reasons that are adding to the Aptos rally!
Top Reasons That Are Pushing Aptos Rally
Here are some of the top reasons that are pushing the token’s price rally higher. These are:
Backing Of Strong Investors:
Aptos was founded with the joint efforts of Facebook along with the Blockchain network, Libra. The prominent leaders of Libra later became the founders of Aptos. This is the decentralized format of Libra in reality!
This project has brought a fresh class of layer-1 into the market along with the Move language. These will help in creating competition against Cardano and Solana. This Crypto is facing an increase due to the hope of all investors. They believe that there will be a technological boost, which will offer a secure and scalable network.
Last year, this token was able to raise about 350 million USD. In this amount, 200 million USD is from Andreessen Horowitz. And the rest of the 150 million USD consists of Series A funding which was a joint venture by Jump Crypto and FTX.
Stable Ecosystem:
The Blockchain was launched in October of last year, so it is in the initial stages at present. The ecosystem is developing and there’s more to come in the future. You can find some DeFi and NFT projects in this ecosystem. The development of smart contracts is ongoing.
The ongoing transactions of this Blockchain include 94% of APT transfers. This network is hosting more active developers than Tezos and Avalanche!
The development team of this platform is working towards building a better ecosystem. And the price movements are sure to increase in the future.
Traders’ Disbelief:
Though there is a general limitation in its activities and features, its decent growth is a shock to everyone! You can find tweets all over for this token reflecting its increasing market cap!
The sellers might not take the risk of going against the ongoing trends. APT’s short-side trade is getting crowded for its perpetual trade. And it crossed its all-time high rate in October, last year, by crossing 15 USD! You can observe this in APT’s negative funding patterns.
If you are a buyer, then it is a good chance for you to search out the liquidation level of the sellers. You can do this by pushing the prices higher. Also, in this industry, you will notice the squeeze of short orders more than anything!
Limited Selling Pressure:
This ecosystem plan will reduce the selling pressure in its first year of operation. After this year’s October, the developers will release more APT tokens than ever. You can get more of these tokens in the market than before.
But before this release, the major source of inflation was from staking rewards. These staking rewards for the tokens stand at around 7% for everyone! The brand distributed more than 2% of all its initial releases to its users and developers. And the early users would have sold their tokens within 3 months!
Kimchi Premium:
The majority of the interest in buying this token is coming from South Korea. This demand is coming from the UpBit exchange in South Korea. More than 40% of the trading volume of this ecosystem is coming from UpBit.
Also, you can find this coin at around 1%-3% higher than the usual price. This shows that there is a high demand from the community of South Korea, so it is known as Kimchi Premium.
Conclusion
All these top reasons are adding to the Aptos price rally. Keeping all these in view, there are considerable chances of APT’s increase!
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