The post AVAX’s midweek bounce brings 50% holders into profit appeared on BitcoinEthereumNews.com.

contributor Posted: September 20, 2024 Avalanche has broken out of a multi-month descending parallel channel. AVAX price faced a crucial test as it approached a key resistance zone of $29. Avalanche [AVAX] has been a standout performer in the midweek crypto market action. AVAX’s price climbed to a three-week high of $26.52 earlier today, extending the overnight rally on the 18th of September. The altcoin was, at press time, pictured trading 12% higher in the last 24 hours. The uptick in AVAX’s price coincided with a broader crypto market rebound on the back of a perceived favorable macro environment. The prevailing buoyant sentiment comes after the U.S. Federal Reserve lowered interest rates by 50 basis points to 4.75%-5% on the 18th of September. The latest benchmark fed funds rate adjustment indicated a shift in monetary policy aimed at taming inflation and supporting economic growth. The Fed’s decision marked the first rate cut in four years and only the third time policymakers have started a rate-cutting cycle with a 0.5% reduction. Though largely anticipated, the outcome still sparked volatility in both stock and crypto markets. IntoTheBlock’s data showed that AVAX’s price jump has put 49% of the token holders in profit. Observers widely expect further reductions going into the last quarter, but views on the implications of the Fed’s 50 bps cut to risk assets have been mixed. Some analysts hold that the latest adjustment can only provide a short-term boost to the cryptocurrency market. Avalanche’s DeFi outlook The recent surge in AVAX price comes as Avalanche continues gaining traction in the decentralized finance niche. Avalanche’s total value locked, denominated in AVAX, grew by 11% from 28.1 million AVAX in Q1 to 30.8 million in Q2. Data from DeFiLlama shows that Avalanche’s TVL has maintained the trend. Source: DeFiLlama The TVL across…

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Filed under: News - @ September 20, 2024 10:26 am