- While Bitcoin remains stable above $27,600 after Ether’s multi-day drop, XRP and Avalanche’s AVAX are on the rise.
- AVAX prices surged up to 6% on Wednesday but retraced afterward. However, on-chain data indicates an almost 40% increase in transactions since the beginning of the week.
- The application called Stars Arena resembles Friend.Tech, a viral application that allows Ethereum users to purchase “shares” of X accounts in exchange for specific privileges.
As Bitcoin prices continue their stable movement, the rise in AVAX prices has attracted attention. What is the reason behind AVAX’s surge?
Bitcoin and Ethereum Remain Steady as AVAX Rises
Bitcoin is holding steadily above $27,600 after Ether’s multi-day drop, while XRP and Avalanche’s AVAX are on the rise. The largest cryptocurrency by market capitalization gained more than 0.6% in the last 24 hours and seems to be stable above the $27,600 level after losing support around $28,000 earlier this week.
While Ether decreased by 0.5%, Solana’s SOL dropped by 1.4%, Cardano’s ADA, and BNB Chain’s BNB remained stable. XRP tokens gave back some of their gains on Wednesday following two significant developments for payment company Ripple.
Ripple’s Asian unit secured a license in Singapore to provide payment services to users in the region, while the U.S. unit won a victory against the Securities and Exchange Commission (SEC) that had lost its appeal in the Ripple case. David Janczewski, CEO of CoinCover, said:
“It’s great to see the SEC withdraw its legal action. This further highlights the urgent need for clear and well-defined regulations. This rise in XRP shows that regulatory clarity is a catalyst for market confidence and will create the responsible growth that policymakers want to see.”
Ripple has historically kept its distance from XRP, which is the token that powers some of its products and the XRP Ledger network. However, any progress in Ripple’s lawsuits or licenses has a clear impact on XRP prices as traders believe the two are interconnected.
Why Did AVAX Rise?
Avalanche tokens found some support as demand seemed to increase with the introduction of a blockchain-based application by popular accounts on the social app X (formerly Twitter).
The application called Stars Arena resembles Friend.Tech, a viral application that allows Ethereum users to purchase “shares” of X accounts in exchange for specific privileges. According to DappRadar data, the platform has recorded over 600,000 transactions since Monday.
AVAX prices surged up to 6% on Wednesday but retraced afterward. However, on-chain data indicates an almost 40% increase in transactions since the beginning of the week. Meanwhile, Ruslan Lienkha, Head of Markets at YouHodler, noted that crypto prices could rise only if developers take steps to become more compliant with regulatory expectations.
Lienkha stated, “Positive internal factors in the crypto space such as broader adoption, increased institutional interest, more regulatory clarity, more jurisdictions with better regulation, and better technologies will lead to capital inflow.”
The trader also mentioned that spot Bitcoin ETFs could support a broader crypto market rally and, considering current developments, expects prices to reach at least $40,000. Lienkha said, “Right now, the SEC has fewer arguments to reject spot ETFs, so we expect the first approval of spot BTC ETFs to be in the last quarter of 2024 or early 2024,” adding, “In case of stock index calmness, BTC price will reach the range of $35,000 to $40,000 by the end of the year.”
