After days of price decline, Aptos (APT) is gaining today. To APT’s traders, the few days of price decline might seem like an unending bearish trend where the token recorded losses in three consecutive days, but that is not the case.
APT has leveraged the 1.8% increase in the global cryptocurrency market capitalization. It is among the highest-gaining coins today, and at press time, its trading volume has risen over 105% increase in 24 hours.
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Aptos Labs launched a new Web3 Software development kit (SDK) that enables interoperability and transparency in gaming. This development has rubbed off on APT price by increasing its trading volume as more game developers find utility in the new tool.
Aptos Records Massive Surge In Trading Volume Amid Price Rally, Why?
APT is the token powering the Aptos blockchain, with a total circulating supply of 130 million tokens at the time of writing. APT is currently up in the last hour and the past seven days.
With its 0.38% past week price increase, the token outperforms the global crypto market, which has declined 1.10% over the past week. In addition, APT is also outpacing similar smart contract platform coins, which have collectively reduced by 1.80%.
Aptos is currently witnessing a surge in trading volume because of its new software development kit. According to CoinMarketCap, APT’s trading volume has more than doubled its February 28 value. It went from $276.01 million on February 28 to $623.86 million on March 1. The new Web3 gaming tool kit may be behind this increase in on-chain activity.
The SDK comprises gaming tools that facilitate the development of decentralized games. Decentralization in the context means the tool enables game mechanics that allow players to create, earn, and obtain in-game resources, which they can sell or trade for money.
Conventional video games only allow users to play and earn irredeemable rewards. However, Aptos’ SDK enables games that allow players to earn redeemable rewards. Offering this feature is a milestone in Web3 gaming that would attract more users, as every player would love to make money as they play.
The SDK launch is the most probable reason behind APT’s trading volume surge and price rally surge.
Will APT Sustain Its Price Rally And Climb above $15?
Aptos has been very volatile lately, like most cryptocurrencies in the market. As of February 23, Aptos traded at $13.92, a 3.7% increase from its previous day’s price. But it could not sustain the gains as it retraced by 3.3% the next day, losing $0.453852. The price decline continued, and by February 27, APT had lost more than 12%, trading at $12.24 before rallying briefly by 3.3%.
On February 28, the price fell from$12.65 to $12.40, a 2% decline. And today, it gained more than 9%, rallying to $13.13 before retracing a bit to $13.08.
The market sentiment is neutral, with the fear and greed index reading 50. But APT has recorded 11 green days over the past 30 days with 11.02 price volatility.
Coincodex predicts a 5.54% decline to $12.35 by March 6, 2023. So now is probably a good time for the bulls to acquire more APT tokens since the technical indicators are flagging strong buy signals.
It is uncertain whether APT will continue in this pattern, but chances are high that it will hold a short-term rally after it breaks the next resistance level.
Note that cryptocurrencies often deviate from past price behaviors, especially for small-cap altcoins.