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Since the beginning of 2021, lesser-known altcoins have led the altcoin rally. The altcoin boom caused ALPHA to climb from $0.33 at the start of 2021 to $2.13 in April 2021. ALPHA is not alone; top DeFi tokens such as MATIC and AAVE have appeared in mass media comeback headlines in 2021, in both altcoin dips and rallies.
Despite the fact that ALPHA’s trading volume has fallen by more than 50% in the last 24 hours, the DeFi token has grown in popularity thanks to its strong volatility and liquidity throughout spot exchanges. ALPHA is in high demand on top spot exchange markets such as Binance and FTX. The trading volume on Binance exchanges accounts for about half of overall trade volume; ALPHA’s price is determined by the price movement in Binance’s USDT segment. As compared to other top altcoins, this indicates comparatively high liquidity.
Unlike most other altcoins, the uncertainty for ALPHA is almost equal to the price rally, according to the map above from Lunarcrush. At the present price level, only 2.4 percent of ALPHA is in circulating stock, according to data from CEX and DEX. 56 million ALPHA is reportedly staking as well, keeping the altcoin in demand. The announcement of a new liquidity mining cycle for ALPHA has made it more profitable for traders, growing its appetite across exchanges.
In the case of MATIC, the price rose by more than 1200 percent in the following 30 days the last time the altcoin made a similar leap, as it did now based on the price table. A similar change would raise the price of MATIC to $5 by June. The altcoin is expected to rally after consolidating for over 1.5 months.
Furthermore, MATIC is currently doing almost as many Transactions as ETH. That is 1.2 million transactions compared to 1.5 million for ETH. Despite having a market capitalisation more than 60 times that of Ethereum, MATIC has emerged as an undervalued altcoin during the recent bull run.
The liquidity of AAVE is its most important aspect, and it has been steadily growing on Uniswap. According to Glassnode numbers, it recently reached a new monthly high, and liquidity on Uniswap is now at an all-time high. AAVE’s pricing activity essentially leads to its high liquidity, and traders anticipate a short-term market surge for AAVE, as well as top DeFi tokens.