Emerging Players Disrupt the Perpetual Trading Scene
The perpetual trading sector has witnessed a significant shift in recent weeks, with newcomer tokens such as Avantis and Aster making substantial gains while established platforms experience a decline. This trend suggests a capital rotation within the derivatives trading sector, as investors seek growth opportunities with emerging protocols.
Avantis, in particular, has seen its native token Avnt surge by 66% over the past seven days, from $1.25 to $2.05. The token reached a high of $2.64 on September 21, representing a 320% growth above its starting price of $0.4880 less than two weeks after its debut. Additionally, Avantis’ Total Value Locked (TVL) increased by 27% between September 14th and 22nd, from $17.7 million to $22.6 million, according to data from Defillama.
Established Platforms Experience Decline
In contrast, established perpetual trading platforms have seen their tokens decline in value over the same period. Hyperliquid’s token, for example, fell by 9.3% in the last seven days, from $47.62 to $43.21, while Jupiter’s token decreased by 8% from $0.5067 to $0.4657. This decline suggests that liquidity is shifting from established protocols to newer participants, as investors seek growth potential with emerging platforms.
Aster, another newcomer, has recorded an even more impressive performance, with its token increasing by 146% over the past seven days, from $1.39 to $3.42. The token reached a high of $1.96 on September 21, representing a 250% gain since its launch on September 18. Aster’s TVL also exploded by 228% between September 14th and 22nd, from $370.1 million to $1.21 billion.
Market Trends and Outlook
The rally of Avantis and Aster can be attributed, in part, to the support of Binance founder Changpeng Zhao, who expressed his backing for decentralized exchanges on social media platform X. This endorsement has likely contributed to the increased confidence in emerging protocols. However, it remains to be seen whether these newcomers can maintain their TVL numbers or if capital will flow back to established platforms once the hype has subsided.
Despite the broader perpetual Dex market experiencing a decline from $6.1 billion to $5.1 billion between September 13th and 22nd, the sector continues to evolve rapidly. Decentralized exchanges are competing for market share by improving user experience, reducing fees, and introducing new trading features. As the market continues to shift, it is essential for investors to stay informed and adapt to the changing landscape.
For more information on the perpetual trading sector and the performance of Avantis and Aster, visit https://cryptoslate.com/perp-dex-season-avantis-and-aster-defy-market-downturn-with-impressive-rallies/
