The Aave (AAVE) price has increased 76% since the beginning of February, and today the DeFi token has reached a new ATH- $ 520. Currently, Aave is the second-ranked DeFi platform by total locked value, and the protocol continues to gain users and outperform its competitors.
Aave’s price is surprising
Data from Coinpaprika say AAVE has risen from $ 284 on Feb. 1 to its current value of $ 510. Daily trading volume reached $ 2.4 billion. The latest rally started on January 28, when the platform announced the release of the Aave v2 migration tool, which allows users to easily migrate all account information, including tokens wagered and borrowed positions, to an updated protocol.
Since then, DeFi’s platform’s key metrics have grown steadily, including the total funds blocked on the protocol, which set a new record of $ 4.957 billion on February 3. Maker (MKR) has a higher TVL (total blocked funds.
The price of AAVE rose further on February 1. This happened after the team tweeted:
“Today is the last day you can vote for AIP to add BAL $ to Aave V2”
On February 2, the proposal was accepted by the community, and Balancer (BAL) was added as collateral. Shortly thereafter, the price of AAVE rose from $ 284 to $ 300.
The power of DeFi
Decentralized finance continues to gain strength thanks to the huge array of services offered by the sector. The possibility of making a profit by borrowing and betting on tokens encourages many investors. Traders are also tempted to borrow their crypto assets and participate in the development of protocols. AAVE v2 has addressed all of these areas, and the platform continues to integrate with other protocols in the DeFi space, and this is a major driver of the recent AAVE rally.
Defi tokens are experiencing their next renaissance, showing strong increases even at times when the rest of the cryptocurrency market is stagnant. Currently, the price of Bitcoin is still in the range of $ 35,000 – $ 40,000. However, decisive price movements take place in the Defi sector.