Avalanche activity driven by DEXs, trading bots, whale memecoin speculation

11 hours ago

Smart declaration blockchain Avalanche recorded a accordant surge successful blockchain activity, arsenic analysts constituent to increasing decentralized trading activities and returning crypto whale speculation astir the adjacent emerging memecoin.

Avalanche’s transaction growth surpassed each different blockchains the past week, rising 66% to 11.9 cardinal transactions crossed implicit 181,000 progressive addresses, signaling increasing capitalist mindshare focusing connected the blockchain.

The milestone occurred aft a “landmark effort” of the US Department of Commerce, which adopted Avalanche, on with 9 different nationalist decentralized blockchains, for publishing its existent gross home merchandise (GDP), Cointelegraph reported connected Aug. 29.

Despite Avalanche’s increasing organization and governmental adoption, we “cannot astatine this constituent property this to the US Government adopting Avalanche for its GDP data,” according to Nicolai Sondergaard, probe expert astatine the Nansen crypto quality platform.

The network’s increasing blockchain enactment is chiefly driven by decentralized concern (DeFi) traders, miner extractable worth (MEV) trading bots, and whales speculating connected the adjacent large memecoin launch, the expert told Cointelegraph, adding:

“The transaction surge is driven by: 60% DeFi protocol enactment (Trader Joe, Aave, Benqi), 25% Automated trading bots and MEV, and 10% Whale trading and memecoin speculation [...].”

The probe expert explained that the further 5% of blockchain enactment was attributed to blockchain gaming and non-fungible tokens (NFTs).

DEX trading, “high-balance” whales drove the bulk of Avalanche blockchain activity: Nansen

Cryptocurrency trading connected decentralized exchanges drove the lion’s stock of Avalanche’s blockchain activity, with Trader Joe DEX arsenic the “primary driver,” which saw implicit $333 cardinal worthy of Avalanche Wrapped Ether (WETH.e) measurement during the past 7 days.

“Key players” driving this enactment included traders connected Nansen’s apical 100 leaderboard, who made aggregate six-figure trades, explained Sondergaard.

Aave lending protocol was the secondary operator with $624,000 worthy of flash indebtedness enactment done DEX aggregators, portion the Benqi Protocol grew to beryllium different important driver, aft receiving implicit $650,000 worthy of deposits from cryptocurrency trading bots.

Automated trading activities and “high balance” whale addresses drove the remainder of the blockchain activity, with the Black (BLACK) token seeing $14 cardinal successful trading volume, with aggregate whale addresses amassing up to $95,000 worthy of the token.

Looking astatine 1 of Avalanche’s main competitors, the Solana blockchain saw a 6.7% alteration successful play transactions, notable 433 cardinal transactions crossed 18.9 cardinal progressive addresses, Nansen information shows.

Similar to Avalanche, DEX trading drove the bulk of blockchain activity, including Raydium DEX with 12.4 cardinal users and 297 cardinal transactions, followed by Fluxbeam DEX with 7.3 cardinal users and 178 cardinal transactions.