Avalanche

Daily gas spent on EVM inscriptions surges to record high of $8M

Bitcoin is not the only network getting clogged up with Ordinals inscriptions, with weekend activity on EVM chains also spiking.

Network transaction fees across all blockchains have spiked over the weekend as the Ordinals inscriptions craze continues to push demand for blockspace — and not just on the Bitcoin network.

Inscriptions on Ethereum Virtual Machine (EVM) chains skyrocketed over the weekend, causing a spike in gas fees.

On Dec. 16, gas spent on inscriptions surged to a record high of $8.3 million, according to data from Dune Analytics.

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Avalanche (AVAX) posts triple-digit monthly gain as TVL surge points to user growth

Avalanche’s market cap has grown by 340% since October, and AVAX price has followed.

AVAX, the native token of the Avalanche ecosystem has surprised the market, posting double-digit gains amid a drawback in the wider crypto space. AVAX token smashed through the $40 barrier on Dec.12 to reach an intra-day high of $43. At the time of publication, the layer 1 token trades at $38, up 12% over the last 24 hours and 123% over the last 30 days.

The latest rally has seen Avalanche’s total market value grow more from $3.25 billion when the recovery started in mid-October to the current value of $14.35 billion. This represents an increase of over $341% in just two months.

This is $1.06 billion more than Dogecoin’s $13.29 billion, flipping it to secure the ninth position on the CoinMarketCap ranking.

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IEEE to issue blockchain skill certificates on Avalanche in India

Avalanche was selected as the primary settlement layer for IEEE’s certificate issuance because of the need for an ecosystem compatible with the Ethereum Virtual Machine.

The credentialing system used by the Institute of Electrical and Electronics Engineers (IEEE) will use the Avalanche blockchain to issue tamper-evident certificates in India. 

India is the second-largest IEEE membership base outside the United States, with over 75,000 members. The professional association will issue IEEE credentials or certificates to all trainees and users to make the verification process tamper-proof, instant and secure.

The IEEE will issue blockchain certificates via LegitDoc, a blockchain-based credential lifecycle management built by Zupple Labs. Speaking to Cointelegraph, Zupple co-founder Neil Martis said that the Indian public sector has become more willing over the last 12 months to implement full-fledged blockchain projects over pilots.

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T. Rowe Price, WisdomTree join Avalanche subnet for forex testing

If initial tests are successful, the firms will expand their activities into tokenized credit issuance and equities.

Financial market firms T. Rowe Price Associates, WisdomTree, Wellington Management, and Cumberland have joined an Avalanche (AVAX) subnet to test the idea of blockchain-based foreign exchange, according to an announcement from the Avalanche team. The new subnet is called “Spruce,” and is part of Avalanche’s Evergreen Subnet ecosystem.

According to the announcement, institutions will initially use “valueless tokens” on Spruce to ensure they can conduct foreign exchange, or forex, transactions without losing capital. Interest-rate swaps will also be tested early on. Over the long run, successful tests will allow these firms to experiment with further attempts at blockchain settlement, including “the exploration of tokenized equity and credit issuance, trading, and fund management.”

The announcement said that Spruce offers compliance features to help keep institutions within the parameters of the law. Firms that want to use it must first pass Know Your Customer (KYC) verifications, and once they complete this process, they receive non-transferable tokens, or NTTs, identifying them on the network. Their wallet addresses are also whitelisted “at the chain level” after verification.

Will Peck, head of digital assets at WisdomTree, said that he believes Spruce will be an important step in bringing greater efficiency to traditional financial transactions:

“We believe tokenization and blockchain will play an important role in financial services going forward. Avalanche Spruce provides an opportunity to further explore the potential efficiencies and benefits of on-chain trading and settlement with other financial institutions. We are looking forward to experimenting in this EVM-based testing environment.”

On April 6, Avalanche announced the launch of the “Evergreen” subnet protocol, which allows institutions to create customized blockchains with compliance features. At the time, a representative from Ava Labs said these subnets were needed because previous solutions, such as Corda and Hyperledger, were not interoperable enough for the needs of large institutions.

Related: Deutsche Boerse, Swisscom Settle Securities with Corda and Hyperledger

Spruce is one of two Avalanche Evergreen subnets launched since the protocol was released and listed on the Avalanche website. Intain, an Evergreen subnet focused on structured finance, is the other.

A January joint study from Uniswap and Circle argued that the cost of forex could be reduced by as much as 80% by putting transactions on a blockchain network. Experts such as Ralf Kubli of the Casper Foundation have argued that tokenization may help to prevent a future financial crisis.

Avalanche introduces ‘Evergreen’ subnets to connect institutions on blockchain

Ava Labs has introduced its new Evergreen subnets, aiming to help institutions improve control and intercompany communication on the blockchain.

Ava Labs, the developer of the Avalanche layer-1 blockchain platform, is introducing new institutional deployments to improve the blockchain environment.

On April 6, Ava Labs introduced Avalanche Evergreen Subnets, a suite of institutional blockchain tooling and customizations designed to address company-specific requirements for financial services.

The new product aims to allow institutions to maintain control over their blockchain environment while enabling intercompany communication, Ava Labs’ institutional business development director, Morgan Krupetsky, told Cointelegraph.

“Currently, many institutions are building use cases on enterprise blockchains such as Corda, Hyperledger, Quorum or R3, which inherently are not interoperable and rely on third-party bridges,” Krupetsky said. With Evergreen subnets, member institutions will be able to communicate with each other without relying on third-party bridges, seamlessly transferring assets, proceeding with trade confirmations and other messages, the executive noted.

The intercompany communication on Evergreen subnets is enabled using Avalanche’s native communication protocol, Avalanche Warp Messaging. The AWM feature provides native communication between any two blockchains on different Avalanche subnets.

An Avalanche subnet, or subnetwork, is a dynamic set of validators working together to achieve consensus on the state of a set of blockchains. Subnets are independent and don’t share execution, storage or networking with other subnets or the primary network, which allows the network to scale.

“Subnets were always part of the target state vision for the Avalanche network,” Krupetsky said, adding that the first subnet — DeFi Kingdoms — was launched in April 2022. “Subnets can be thought of as application-specific blockchains that can be customized for a whole host of industries and use cases,” he added.

Visual representation of how subnets reside in the Avalanche network, compared with topologies of inter-chain economic security in Cosmos and Polkadot. Source: Burak Arikan

In contrast to default subnets, Evergreen subnets have certain built-in features aiming to provide a ready-made product for institutional blockchain deployments, such as user and validator permissioning, jurisdictional-based geofencing, custom gas token selection, and Ethereum Virtual Machine compatibility, Krupetsky noted.

Related: Enterprise blockchain is transforming business operations and reducing costs — Web3 exec

Evergreen subnets also enable a controlled environment while providing public blockchain development, the executive added, stating:

“In our work with institutional partners on both the buy and sell side, we found that institutions had common considerations and requirements when seeking to deploy on public blockchain infrastructure, so we created Evergreen.”

Krupetsky also said that Evergreen subnets bring the “best of both worlds” from private blockchain solutions and fully public solutions because, separately, such options don’t meet long-term scaling needs or standards for security and control.

The news comes amid Ava Labs announcing the South Korean tech firm SK Planet building an Avalanche subnet for its users. The new subnet, UPTN, will be integrated with SK Planet’s portfolio of consumer applications, including OK CashBag.

As previously reported, Avalanche Foundation director Emin Gün Sirer believes that subnets are the next big thing for blockchain after smart contracts. According to the executive, they enable functions only possible with “network-level control and open experimentation.”

Magazine: Bitcoin in Senegal: Why is this African country using BTC?

XRP, LTC, XMR and AVAX show bullish signs as Bitcoin battles to hold $28K

Bitcoin price is making another run at $28,000 and this is luring altcoin traders into XRP, LTC, XMR and AVAX positions.

The recent banking crisis in the United States seems to have shaken the belief of some customers in the legacy banking system. According to Federal Reserve data, customers pulled nearly $100 billion in deposits in the week ending March 15.

American venture capital investor and entrepreneur Tim Draper said in a March 25 report that “founders need to consider a more diversified cash management approach” due to the over-regulation of banks and micromanagement by the government. As part of a contingency plan, Draper suggested businesses keep “ at least six months of short-term cash in each of two banks, one local bank and one global bank, and at least two payrolls worth of cash in Bitcoin (BTC) or other cryptocurrencies.”

Crypto market data daily view. Source: Coin360

The move from the traditional banking system to cryptocurrencies may have already started, as seen from the strong showing of Bitcoin in the past few days. Even after the recent up-move, investors do not seem to be hurrying to book profits in Bitcoin. However, the same cannot be said about most altcoins, as they have witnessed a minor pullback.

In the short term, traders need to be selective of the cryptocurrencies to trade. Let’s study the charts of Bitcoin and select altcoins which may start the next leg of the up-move.

Bitcoin price analysis

Bitcoin has been hovering around the $28,000 level for the past few days. A consolidation after a strong rally is a positive sign as it shows that traders are holding on to their position, expecting a further up-move.

BTC/USDT daily chart. Source: TradingView

The upsloping 20-day exponential moving average ($25,936) and the relative strength index (RSI) in the positive area suggest the bulls remain in control. That enhances the prospects of a break above $28,900.

If that happens, the BTC/USDT pair could rally to the $30,000 to $32,000 resistance zone. The bears will try to defend this zone with all their might because if they fail in their endeavor, the pair may skyrocket to $40,000.

The vital support on the downside is $25,250. If this level fails to hold up, the pair may tumble to the 200-day simple moving average ($20,179).

BTC/USDT 4-hour chart. Source: TradingView

The four-hour chart shows that the pair has been trading in a range between $26,500 and $28,900 for some time. The 20-EMA is flat and the RSI is just above the midpoint, indicating a balance between supply and demand.

A break above $28,900 will signal that bulls have overpowered the bears. That will indicate the resumption of the up-move. On the contrary, if the price breaks below $26,500, the pair may tumble to $25,250 and then to $24,000.

XRP price analysis

XRP (XRP) soared above the overhead resistance of $0.43 on March 21. The bears tried to trap the aggressive bulls by pulling the price below the moving averages but the bulls held their ground.

XRP/USDT daily chart. Source: TradingView

Buyers are trying to push the price toward the overhead resistance at $0.51. If bulls clear this obstacle, the ETH/USDT pair could attempt a rally to $0.56. This level is likely to witness aggressive selling by the bears but if buyers bulldoze their way through, the next stop may be $0.80.

Another possibility is that the price turns down from $0.51. During the pullback, if bulls flip the $0.43 level into support, it will suggest that the sentiment has turned positive. That will increase the likelihood of a break above $0.51.

The crucial support to watch on the downside is $0.40. If this level gives way, the next support is $0.36.

XRP/USDT 4-hour chart. Source: TradingView

The four-hour chart shows that the bears are trying to defend the 61.8% Fibonacci retracement level at $0.46 and the bulls are buying the dips to the 20-EMA. This shows a state of equilibrium between the bulls and the bears.

If the price sustains above $0.46, it will suggest that bulls have seized control. The pair could then attempt a rally to $0.49 where the bears may again mount a strong defense. On the other hand, if the price slips below the 20-EMA, the pair may fall to $0.43 and then to $0.40.

Litecoin price analysis

While most major altcoins are struggling to start a recovery, Litecoin (LTC) is showing signs of strength. The 20-day EMA ($86) has started to turn up and the RSI is in the positive zone, indicating advantage to buyers.

LTC/USDT daily chart. Source: TradingView

The LTC/USDT pair could first rise to $98 and then retest the strong overhead resistance at $106. This is an important level to keep an eye on because if it crumbles, the pair may accelerate to $115 and then to $130.

Alternatively, if the price turns down sharply from $106, it will suggest that bears are active at higher levels. The pair could then drop to the 20-day EMA. If the price rebounds off this level, it will suggest that the sentiment remains positive. The bulls will then make another attempt to resume the up-move.

The first sign of weakness will be a break and close below the 20-day EMA. That could open the doors for a drop to $75.

LTC/USDT 4-hour chart. Source: TradingView

The rebound off the 20-EMA on the four-hour chart shows that the bulls are viewing the dips as a buying opportunity. The bulls will try to kick the price above $96 and extend the up-move to the overhead resistance at $106.

Contrarily, if the price breaks below the 20-EMA, it will suggest that the bullish momentum is weakening. The pair could then descend to the uptrend line. This is an important level for the bulls to defend because if it cracks, the pair may tumble to $75.

Related: Bitcoin is 1 week away from ‘confirming’ new bull market — analyst

Monero price analysis

After trading near the moving averages for a few days, Monero (XMR) has broken free and is trying to climb higher.

XMR/USDT daily chart. Source: TradingView

The 20-day EMA ($153) has started to turn up and the RSI is in the positive territory, indicating that buyers have the edge. There is a minor resistance at $170 but if bulls overcome this barrier, the XMR/USDT pair could pick up momentum and soar to $187 and subsequently to $210.

The moving averages are expected to provide support during pullbacks. A break and close below the 200-day SMA ($150) could turn the tide in favor of the bears. The pair may then slump to $132.

XMR/USDT 4-hour chart. Source: TradingView

The 20-EMA on the four-hour chart is sloping up and the RSI is in the positive zone, indicating that bulls have the upper hand. The pair could reach $169, where the bulls may again face stiff resistance from the bears.

However, on the way down, if bulls do not allow the price to break below the 20-EMA, it will increase the likelihood of a rally above $169. If that happens, the pair may climb to $180 and later to $188.

The first sign of weakness will be a break and close below the 20-EMA. That could open the doors for a possible drop to the 200-SMA.

Avalanche price analysis

The bulls have successfully held Avalanche (AVAX) above the moving averages, indicating that lower levels are attracting buyers.

AVAX/USDT daily chart. Source: TradingView

The price has been consolidating between $18.25 and the 200-day SMA ($16.05) for the past few days but this range-bound action is unlikely to continue for long. If buyers thrust the price above $18.25, the AVAX/USDT pair will attempt a rally to $22 where they may face strong selling by the bears.

This positive view will invalidate in the near term if the price plummets and sustains below the 200-day SMA. The pair could then slide to $15.24 and thereafter to $14.

AVAX/USDT 4-hour chart. Source: TradingView

The bulls have successfully guarded the $16.25 level on the downside but they have failed to propel the pair above the resistance line. This indicates that the bears have not given up and they continue to sell on rallies. The flattish 20-EMA and the RSI near the midpoint do not give a clear advantage either to buyers or sellers.

This uncertainty could tilt in favor of the bulls if they take out the resistance line. The pair may then start the next leg of the recovery to $20 and later to $22. A break and close below $16.25 will tilt the advantage in favor of the bears.

The views, thoughts and opinions expressed here are the authors’ alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

Tencent Cloud signs multiple collaboration agreements with blockchain firms

The Chinese internet giant is launching new Web 3.0 solutions including a Metaverse-in-a-Box product and blockchain API services.

Tencent Cloud has concluded multiple agreements with blockchain firms to support the active development of the Web3 ecosystem, the cloud computing branch of Chinese internet giant Tencent announced in a Feb. 22 press release.

First, Tencent Cloud signed a memorandum of cooperation with decentralized blockchain infrastructure provider Ankr to jointly develop a series of blockchain API services for remote procedure call nodes. The new service will be deployed on Tencent Cloud’s infrastructure and will provide connections to mainstream blockchains building on Web 3.0 games and applications. 

Second, Tencent Cloud said that it reached strategic cooperation agreements with three other blockchain partners, Avalanche, Scroll, and Sui, to accelerate the adoption of Web3 applications. The cooperation between Tencent Cloud and Avalanche will provide developers with efficient and fast node settings. With the help of Tencent Cloud’s infrastructure footprint, the cooperation between Tencent Cloud and Scroll will assist developers with building practical projects on Scroll and expand access to non-blockchain enterprises.

Finally, the cooperation between Tencent Cloud and Sui will provide developers with cloud game development tools and professional support to improve the on-chain game experiences.

The company also introduced a new Tencent Cloud metaverse-in-a-box product for Web3 developers that fully integrates a wide range of infrastructure, high-performance products, out-of-the-box software development kits, and low-code solutions for use in games and media entertainment. Poshu Yeung, a senior vice president at Tencent Cloud International, stated:

“With a transparent digital future ahead, Tencent cloud is prepared to, through its accumulated experience in the field of games, audio, and video, provide strong technical support for Web3. Tencent Cloud will cooperate with industry partners to offer more immersive experiences and cultivate the cultivate Web3 ecosystem.”

Tencent’s upcoming metaverse-in-a-box product. Source: Tencent Cloud

Long-standing crypto project vs. scam: Ava Labs CEO shares key difference

Ava Labs’ CEO has condemned players that jump into every single new coin offering or token in the hopes that they will go up.

Emin Gün Sirer, creator of the Avalanche Consensus protocol and CEO of Ava Labs, believes that there is one very straightforward method to spot a long-standing cryptocurrency project.

On Feb. 7 ​​Sirer discussed blockchain venture capital and crypto regulation in a fireside chat with MarketAcross chief operations officer Itai Elizur at the Web3 builder-focused event, Building Blocks 23.

During the discussion, the Avalanche founder pointed out the crucial role of “staying power” in the crypto industry, condemning players who run from one project to another or jump into “every single new coin offering” in the hopes that they will go up. According to ​​Sirer, the desire to reap quick profits from crypto will only turn the space into a terrible thing, and VCs are not to blame.

“I will tell you who’s to blame — it’s us,” ​​Sirer declared, urging the community to support solid crypto initiatives and avoid scammy projects with a short life span. He then shared his “very simple test” of how to spot long-standing projects in crypto and stay away from those who make grand promises and then disappear.

Ava Labs founder and CEO Emin Gün Sirer (right) with MarketAcross chief operating officer Itai Elizur (left). Source: Cointelegraph 

“So, look at the team behind any project; look at their staying power,” the Ava Labs CEO said, adding that the regulating jurisdiction of a cryptocurrency firm provides one of the most important hints about its long-term capabilities. He stated:

“If a project is headquartered outside the United States, you know that it’s — some kind of a Cayman, Bahamas, etc. — some kind of a tax haven, or Austin, Texas etc. They are there to sell points and disappear. They have no staying power.”

Crypto firms headquartered in Silicon Valley are likely to do “pure tech play,” Sirer argued. “They will do the one-tech-trick pony, then they will disappear,” he noted.

The Ava Labs CEO went on to say that long-lasting crypto projects are more likely to be headquartered in New York, “where the assets are” and that are integrated with financial institutions. “That’s where we need to go,” Sirer stated, stressing that there are some people who devote their lives and careers to making things work in crypto. “VCs, of course, love the short lifespan projects,” he added.

Related: New York Assembly introduces crypto payments bill for fines, taxes

Additionally, Sirer emphasized the importance of always growing the space, even during a bear market. “In fact, I happen to like bear markets more. It’s much more fun to be building when everyone is more rational,” the executive stated.

The latest remarks by Sirer add some new ideas about the executive’s view of the cryptocurrency market. In 2020, Sirer argued that more than 95% of cryptocurrencies were nothing but scams. He also criticized use cases of new crypto initiatives, stating that Bitcoin (BTC) was the first cryptocurrency to offer a peer-to-peer online payment method. 

Avalanche ‘bull trap’ risks pushing AVAX price down by 30% in February

The price of AVAX has more than doubled in 2023 but a growing divergence between several key metrics hints at a bearish reversal ahead.

Avalanche (AVAX) bulls should brace themselves for impact led by a growing divergence between severalkey indicators on the daily-timeframe chart.

AVAX price chart paints bearish divergence

The daily AVAX chart shows a classic bearish divergence between its price and relative strength index (RSI), a momentum oscillator forming since Jan. 11.

In other words, the price of AVAX has been making higher highs since the said date. But, on the other hand, the coin’s daily RSI has been forming lower highs. This divergence suggest a slowdown in the  momentum of the AVAX/USD pair, which may lead to a price reversal.

AVAX/USD daily price chart. Source: TradingView

In addition, the declining volumes during the course of AVAX’s ongoing uptrend also hints at the same bearish cues.

The price-RSI and price-volume divergences appear as AVAX price continues its 2023 uptrend . Notably, Avalanche has rallied by more than 100% year-to-date to $22.50 as of Feb. 2, helped by improving risk-on sentiments and  news of its partnership with Amazon.

On Jan. 31, Avalanche partnered with Intain, a structured finance platform that facilitates more than $5.5B in assets across more than 25 deals to run its digital marketplace IntainMARKETS via IntainMARKETS Subnet.

The price of AVAX rallied nearly 20% after the announcement.

Avalanche price risks drop 30% in February

AVAX’s price has successfully closed above two key resistance levels: a multi-month descending trendline (blacked) and its 200-day exponential moving average (200-day EMA; the blue wave) during the ongoing rally. 

AVAX/USD daily price chart. Source: TradingView

Avalanche now eyes a breakout above $22.75, which has been serving as resistance since August 2022, for a potential breakout to $30 as its next upside target. This level also coincides with the falling wedge breakout target discussed in this analysis.

In other words, an approximately 30% gain from the current price levels. 

Conversely, a pullback from the resistance level, fueled by the bearish divergence indicators discussed above, could send AVAX price toward its 50-day EMA (the red wave) at approximately $15-$16, down about 30% from current prices.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

Avalanche ‘bull trap’ risks pushing AVAX price down by 30% in February

The price of AVAX has more than doubled in 2023, but a growing divergence between several key metrics hints at a bearish reversal ahead.

Avalanche (AVAX) bulls should brace themselves for impact led by a growing divergence between several key indicators on the daily-timeframe chart.

AVAX price chart paints bearish divergence

The daily AVAX chart shows a classic bearish divergence between its price and relative strength index (RSI), a momentum oscillator forming since Jan. 11.

In other words, the price of AVAX has been making higher highs since the said date. But, on the other hand, the coin’s daily RSI has been forming lower highs. This divergence suggests a slowdown in the momentum of the AVAX/USD pair, which may lead to a price reversal.

AVAX/USD daily price chart. Source: TradingView

In addition, the declining volumes during the course of AVAX’s ongoing uptrend also hint at the same bearish cues.

The price-RSI and price-volume divergences appear as AVAX price continues its 2023 uptrend. Notably, Avalanche has rallied by more than 100% year-to-date to $22.50 as of Feb. 2, helped by improving risk-on sentiments and news of its partnership with Amazon.

On Jan. 31, Avalanche partnered with Intain, a structured finance platform that facilitates more than $5.5 billion in assets across more than 25 deals to run its digital marketplace IntainMARKETS via IntainMARKETS Subnet.

The price of AVAX rallied nearly 20% after the announcement.

AVAX’s price risks drop 30% in February

AVAX’s price has successfully closed above two key resistance levels: a multi-month descending trendline (blacked) and its 200-day exponential moving average (200-day EMA; the blue wave) during the ongoing rally. 

AVAX/USD daily price chart. Source: TradingView

Avalanche now eyes a breakout above $22.75, which has been serving as resistance since August 2022, for a potential breakout to $30 as its next upside target. This level also coincides with the falling wedge breakout target discussed in this analysis.

In other words, an approximately 30% gain from the current price levels. 

Conversely, a pullback from the resistance level, fueled by the bearish divergence indicators discussed above, could send AVAX’s price toward its 50-day EMA (the red wave) at approximately $15–$16, down about 30% from current prices.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.