- GMX teleports to Arbitrum and threatens Avalanche.
- Sentiment plummets and TVL and NFT deals fall due to an avalanche.
According to the latest information from Artemis, the majority of GMX’s activity has been moved from Avalanche [AVAX] to Arbitrum. This change raised concerns about the potential impact on Avalanche, as GMX is currently the largest player by market capitalization and outperforms many of its competitors in terms of total value locked (TVL).
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Avalanche affected
On the other hand, the negative sentiment surrounding Avalanche, as indicated by the Santiment data, indicated that the overall perception of the AVAX token in the crypto community was negative. This caused a drop in the network’s growing TVL, which was $970.16 million at the time of writing.
Source: feeling
In addition, the total volume of the AVAX token decreased. According to Santiment data, the total volume of AVAX decreased from 1.2 billion to 3.14 million. The number of NFT deals on the network has also decreased, indicating a general lack of interest.
But there have also been some positive developments, one of which is the lower volatility of the AVAX token. Low volatility may attract some stability-seeking investors to their portfolios.
Source: feeling
What is the value of 1,10,100 AVAX today?
It should also be noted that despite the negative conditions of Avalanche, the number of players on the network grew by 21.5% in the last month, according to Staking Rewards. The number of pioneers in the network was 65,988 at the time of writing. This indicates that there is still interest in the network, although its future remains uncertain.
Source: Staking Rewards
It is important to note that GMX’s transition from Avalanche to Arbitrum could be due to various reasons, including the growing popularity of the Arbitrum network and its ability to efficiently handle larger transaction volumes. This change may pose an avalanche threat, but it is also possible for the network to recover and continue to grow.