While Bitcoin (BTC) continues to struggle and keep up with its bearish nature, altcoins are constantly on the rise. There are many altcoins that have emerged as the new potentially strong assets for the investors. These altcoins are gaining a lot of adoption and success due to the products that are coming along the platforms.
One of the prominent and widely adopted cryptocurrency assets in the industry is Aave (AAVE). As per the recent reports, AAVE has been showing promising results and is constantly on the rise with respect to its price. The token has been gaining constant surge and is currently at all-time highs.
At the time of publishing, Aave (AAVE) is currently hovering at the $288.90 price and is showing no signs of slowing down. It is currently being considered one of the most popular decentralized financial protocols in the market.
As per many analysts, the DeFi sector is behind the success and surge in the price of Aave in the cryptocurrency industry.
The DeFi token “AAVE” has shown a very promising growth and adoption rate since the beginning of the year 2021. At the beginning of the year 2021, AAVE was trading at a price of $83 but it was clearly visible that it will be showing a lot of growth in the coming days.
However, AAVE continues to experience growth in its adoption rate and trading volume, soaring its price to the very it is today. Some of the major factors that came into play include development in Aave’s lending, derivatives exchanges, and spot trading platforms. In addition to these platforms, another major factor was the issuance of the flash loan.
The recent bullish nature of the DeFi token has proven to be a great driver in increasing the platform’s total value locked (TVL). One of the most prominent on-chain analyzing platform known as DeFi Plus has shared information around AAVE’s TVL.
The DeFi Plus platform has revealed that on the first of January, 2021, Aave’s total value locked (TVL) was $2.03. Since then, Aave’s total value locked (TVL) has only surged showing a parabolic growth, which is similar to that of Bitcoin (BTC) and Ethereum (ETH).
At the time of publishing, the total value locked showed by Aave is experiencing an all-time high figure of $3.75 billion. This has made Aave the second-largest decentralized finance (DeFi) platform with respect to total value locked (TVL). At present, the largest decentralized finance (DeFi) platform is Maker (MKR) with $23.12 billion as total value locked (TVL).
However, it has been observed that Maker (MKR) is not gaining as much rally as Aave (AAVE) is gaining at the moment. Many analysts are now speculating that Aave (AAVE) will soon come face to face with Maker (MKR).