Bloomberg reports that Solana and Terra, two altcoins designed to create decentralized applications and solutions, were among the most efficient assets on the market last week after bitcoin’s recovery, which was already balanced. Here are the reasons for the growth of altcoins…
The most profitable altcoin projects of the week
Acting as market leaders last week, SOL and Luna were the most profitable altcoins last week, with price increases of about 28 percent and 22 percent respectively. The rally was accompanied by a 40 percent jump in bitcoin from January to the end of last week. Despite the weakening of bullish trends in bitcoin, most altcoins have recovered as investors demand more risk and opt for more volatile options in the market, such as SOL and Luna.
As we reported on Somagnews, this week started with slightly worse performance in both bitcoin and altcoin markets, as the first currency has already lost 1 percent of its value. In addition, the largest altcoin projects, such as AAVE and SOL, have lost about 2-3% in the last 24 hours.
Whale Activity Affects Bitcoin Price
According to Nexo co-founder Anthony Trenchev, while this applies to the altcoin market, bitcoin is currently “cooling down” after strong results in March. However, according to the data, the market indicators of the leading cryptocurrency Bitcoin (BTC) remain relatively calm, while intra-network data show the growing activity of whales, large traders and the redistribution of active funds.
According to a Bloomberg analysis, altcoin Solana is most likely using the Metaverse lifestyle app STEPN Web3, which has attracted a lot of attention from cryptocurrency users around the world. Over the past seven days, GMT tokens associated with STEPN have grown by more than 200 percent. Luna has also attracted additional community attention, as since the beginning of January, the Terra Foundation has acquired more than $1 billion worth of bitcoins to support Bitcoin stable UST coins identified as digital gold.