Why Is Aptos Growing in January 2023?
Aptos (APT) has been making headlines in the crypto space over the last week. The coin has rallied over 300% in just a few days, surpassing popular coins such as Solana (SOL), Ethereum (ETH), and even Bitcoin (BTC).
Earlier, venture capital firm Binance Labs had made an undisclosed strategic investment into Aptos, which gave Aptos a valuation of more than $4 billion.
Binance Labs specifically noted that Aptos’ use of the new programming language Move to build its blockchain was part of the reason for its investment. The Aptos team of developers said they used Move to create a scalable, fast blockchain compatible with mass adoption and use. The Aptos executives have also created the Jolteon protocol, which was implemented through the Flow blockchain in conjunction with the developers of CryptoKitties.
With continued support from fans and the community, the APT token price has been surging since the start of the year. It reached $16.46 and is up 350% since January 1, 2023, according to CoinDesk. The coin’s market cap has grown to $ 2.30B, making it one of the best-performing cryptocurrencies on the market.
Overall, last week has been a wild ride for Aptos and its investors. The coin’s sudden surge in value has taken the market by storm, and it’ll be interesting to see where it goes from here. With its strong partnerships and continued development, Aptos has the potential to become a major player in the cryptocurrency market.
Reasons for the APT Rally
So, what’s the reason for APT’s huge rally? Multiple factors, such as its strong VC backing, Move programming language, a scalable platform, a large and dedicated community, etc. Let’s take a closer look at the factors that contributed to the APT price spike.
In addition to the innovative tech and backing from venture capital firms, another reason for APT’s recent surge is the industry’s prominent players’ growing interest in its ecosystem. For example, PancakeSwap’s recent announcement about deploying its DeFi protocol on Aptos was largely considered strategic and bullish.
Moreover, the APT price skyrocketed by almost 97.6% after the announcement.
Another major reason was the Atomic Wallet’s support for the token on their platform. With Atomic Wallet’s over 3 million followers, APT will reach a vast number of users.
APT’s dedicated and engaged community of supporters is also a vital factor contributing to the project’s growth. The Aptos team hosted its first AptosMoveMonday of 2023 on Jan 9th, with founders answering questions and announcing future community engagement events, such as the AptosWorldTour, various conferences, and developer meet-ups. The community has been instrumental in driving adoption and spreading awareness of the Aptos project and the APT token.
Last but not least, CoinDesk reported that non-fungible token (NFT) markets on Aptos could have contributed to the growth. According to data from Aptos NFT marketplace Topaz, collections such as Aptomingos and Aptos Monkeys attracted tens of thousands in trading volume on Monday.
However, despite the recent spike, it’s hard to predict APT’s future value due to the crypto market’s high volatility and overall uncertain macro environment. In any case, the Aptos project’s fundamentals, financial backing and underlying technology suggest that APT has the potential to continue growing in value over the long-term.
How High Can APT Go?
While making an exact prediction on how high Aptos (APT) price can go in the future is challenging due to the crypto market’s high volatility, the Aptos project has vast potential to reach new heights. The APT’s price prediction is bullish based on the current market trends, the project’s fundamentals, and increasing adoption among market participants.
Furthermore, investments from Andreessen Horowitz (a16z), Coinbase Ventures, FTX Ventures, Jump Crypto, etc., are a strong indicator of the institutional investors’ confidence in Aptos’ future success and potential.
Additionally, Aptos’ Block-STM technology allows it to handle multiple transactions at once (over 160,000 transactions per second) and makes it one of the fastest and most efficient blockchain technology on the market. This is likely to attract investors and the blockchain community at large.
Aptos has also announced a partnership with Google Cloud, and this partnership is defined by Google running some of Aptos’s validator nodes.
Overall, the APT price will continue to grow in the future based on the current market trends and the project’s fundamentals. However, like with any investment, you must do your own research and consider your own risk tolerance before investing in APT or any other cryptocurrency.
What Is Aptos?
Aptos (APT) is a Layer 1 blockchain built with Move, a Rust-based programming language created for Diem. Facebook’s defunct blockchain project. It aims to create a scalable, fast blockchain in line with Diem’s original goal. The blockchain provides a parallel execution engine, low transaction fees, fast and efficient transactions, and top-notch security features. APT is a revolutionary cryptocurrency that offers increased scalability, reliability, security, and usability.
How Does the Aptos Blockchain Work?
- Move smart contract programming language focuses on safety and flexibility, making it hard for malicious entities to control the Aptos blockchain.
- Block-STM Technology creates an engine that relies on parallel execution to handle multiple transactions simultaneously (up to 160,000 transactions).
- AptosBFT, Aptos’s byzantine fault tolerant consensus mechanism, enables the system to function even with a certain amount of component failure and trustlessness. The network focuses on scaling horizontally, utilizing sharded ledger states.
The Company Behind Aptos
Aptos Labs, the company behind the revolutionary Aptos platform, was founded by a team of experienced industry professionals who had previously worked on Meta’s Diem project. Mo Shaikh and Avery Ching are Aptos Labs’ co-founders.
Shaikh has experience in the private equity and venture capital markets and specializes in scaling products. Ching was one of the principal software engineers at Meta.
Aptos Labs aims to build a “Layer 1 for everyone” and the safest, most reliable network possible.
According to Coinbase, Aptos Labs has raised over $350 million in funding. It has launched Aptos Autumn, the network’s mainnet, focused on 3 core principles of upgradeability, the Move programming language, and an intuitive user experience.
Yi He, Binance co-founder and head of Binance Labs, announced: “We believe that the technological competitiveness of the Aptos team could bring increased scalability to the blockchain infrastructure while also supporting novel use cases for Web3.”
To sum up, Aptos is the fastest and most secure Layer 1 project to date, aiming to drive crypto mass adoption. It has outstanding potential due to its experienced team, unique architecture, Move programming language, and VC interest.