3 Reasons Why Aptos Exploded by 400% in 30 Days

By akohad Jan26,2023

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Aptos is undoubtedly the hottest story of the past month, being amongst the absolute best-performing cryptocurrencies in the past 30 days. APT, its native token, skyrocketed by a mind-blowing 400% during that period.

This put the project at the forefront and also gave way to a renewed layer-1 trade narrative, with other names also popping off.

You can check our complete guide on Aptos in the following video:

That said, there are a few reasons which explain the increase in APT’s price, so let’s dive in.

The Entire Market Rallied

Undoubtedly the biggest reason for APT’s increase is the fact that the entire cryptocurrency market saw tremendously renewed interest since the beginning of 2023.

The total market capitalization is up by about $250 billion in that period, showcasing the renewed investors’ appetite for risk-on assets such as cryptocurrencies.

img1_mcap_coingecko_260123
Source: CoinGecko

The main reason for that, according to many, is that inflation in the US seems to be slowing down. The consumer price index numbers for December were released earlier this month. They were in line with the expectations, propelling the market even further.

As it’s almost always the case, when Bitcoin runs, so does the rest of the market, albeit at a different velocity. Some altcoins outperform others, and in this case, APT was the clear winner.

PancakeSwap and Aptos

Another reason why the price increased so much is furthering its efforts to build within the Aptos ecosystem.

Just recently, a new proposal called Confirmation Proposal for Aptos Multichain Farm Emission was put forward that, if approved, would cement the team’s intentions to “build upon the initial deployment.”

Per the document itself:

PancakeSwap will aim to get further visibility within the Aptos ecosystem to attract additional Aptos-based projects to deploy on PancakeSwap.

PancakeSwap will look to bring more our existing and build on future products to Aptos so that we can attract more projects with a competitive offering.

PancakeSwap will be looking to leverage its strength on BNB Chain to attract Aptos-based projects to BNB Chain and vice-versa, so as to improve CAKE burn.

It’s also worth noting that most of the value locked on Aptos is currently in PancakeSwap, as per data from DefiLlama.

img1_tvl_defillama_2601231
Source: DeFiLlama

Aptos NFT Sales Through the Roof

The appetite for non-fungible tokens built on Aptos is also through the roof. One of the more popular marketplaces – Topaz – displays triple and even quadruple increases in the volumes of multiple NFT collections as of late.

On the other hand, this NFT list compiled by Tracemove also shows the considerable transaction count on a lot of the leading projects built on Aptos.

img_nft_list_aptos_2601231
Source: Tracemove

It is, however, worth noting that on-chain data is somewhat unclear in terms of justifying the explosive movement of APT’s price. For instance, the total value locked in the protocol remains relatively little and only increased by 10% during the same period when APT gained 400%.

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By akohad

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