Solana (SOL) and Avalanche (AVAX) are steadily erasing their losses

Platform coins are the first to step back during a market correction. Solana (SOL) fell to the $130 range, and Avalanche (AVAX) failed to produce a stronger rally. Yet in the past days, SOL and AVAX turned into steady gainers, erasing their losses. 

SOL made gains above $150 before retreating to $142.45. AVAX reached $28.28, bouncing off a monthly low of $23.05. 

Santiment noted a difference between the rallies for the two tokens. In the case of SOL, the expected return is making traders jump on the opportunity. Reversely, AVAX is quietly recovering, still not causing FOMO buying. 

📈 Solana and Avalanche are both seeing nice gains as crypto rebounds.

👉 SOL's rally is being accompanied by traders FOMO'ing in, meaning the rally is less likely to continue

👉 AVAX's rally is being mostly ignored by the crowd, meaning the rally is more likely to continue pic.twitter.com/nB6dlM87Qb

— Santiment (@santimentfeed) June 27, 2024

Both chains continue to innovate and build, though Solana is showcasing more developments in a short time span. Solana is ranked 11th based on code commits, while Avalanche is ranked 27th. 

Solana and Avalanche also aim for sustainability and to become parts of the key infrastructure for DeFi, games and other applications. Avalanche is more closely geared to gaming. Recently, the chain decreased the deposit requirements for building a subnet, allowing more teams to build a custom blockchain for their needs. 

Solana aims for accelerated development

Solana has been on a roll in the past week, adding new developments to boost marketing. Blinks were the biggest announcement, immediately adopted by DEX aggregator Jupiter. 

Also Read: Solana brings ZK compression and much cheaper on-chain deployment

Blockchain links allow anyone on social media to create a predetermined buying pattern, without the need to build and host a website for selling NFT or tokens. 

The lead developer of Helium Labs, Mert Mumtaz, continues to present the newest achievements in the Solana ecosystem with the goal of accelerating adoption. 

– 2 SOL ETFs
– ZK compression
– Blinks
– new SVM API and expansion
– smart wallets
– 60M Solana startup fund

but wait…

there's more

accelerate

— mert | helius | hSOL (@0xMert_) June 28, 2024

For now, all Solana activities still require a self-hosted Phantom wallet to interact with Blinks. 

SOL is also getting additional exposure from the talk of an upcoming Solana ETF. The fund is still in the application stage and will follow the model of VanEck, the producer of a Bitcoin ETF and an upcoming Ethereum ETF. 

Avalanche combines gaming and DeFi tools

The latest Avalanche developments are split into gaming and DeFi. Avalanche now carries live feeds from the GMX perpetual DEX, with the help of Chainlink’s oracle technology. The data streams allow any app on Avalanche to access high-speed, real-time trading data. 

In addition to DeFi, Avalanche continues to offer high-grade games. From July 1, Fableborne will launch on the network, with a new model of play-to-airdrop. Avalanche aims to resume its previous leading position when it carried some of the most active play-to-earn games during the 2021 boom.

Also Read: Avalanche (AVAX) Decreases Staking Requirements to Build New Subnets

Avalanche also offers tools for Web3 marketing, such as an airdrop tool to distribute assets to selected addresses. The network also aims to grow its presence with the most recent round of grants. The Avalanche Foundation is setting up a grant program for builders that enhances existing bridge facilities and smart contracts. 

The leading app on Avalanche is currently Star Mech, a Web3 game. It is followed closely by Trader Joe, one of the most liquid exchanges based on an L2 network. Avalanche is the network with the smallest inflows from Ethereum, yet still hosting lively versions of Uniswap and Pangolin DEX. Avalanche is still behind its peak value locked from the 2021 bull market. The network carries $720M in value, spread through the top 20 apps and protocols.

On Avalanche, users can also join tokenless protocols for points farming, earning Liquid Staking Tokens (LST). 

🔺⚡️

Pharaoh is seeing a BOOST in incentives! ⚡️

Starting soon, participating LP's can start earning popular LST's on top of $PHAR emissions & fees!

Look out for the new badge to see participating pairs.

Follow to learn new strategies, and extra incentives. Only on… pic.twitter.com/aFAzu32jcf

— Pharaoh on AVAX (@PharaohExchange) June 26, 2024

In addition to liquid staking and other forms of DeFi, Avalanche is also hosting NFT marketplaces. One of the biggest developments is a partnership with Korean webtoon Solo Leveling. The media company will build a native L1 using Avalanche technology, and then deploy a new NFT platform. 

One of the goals of Avalanche is to also offer multi-chain access, including bridges. During the recent market slump, Avalanche itself noted a slowdown of bridge volumes, down to around $104K per day. For Avalanche, connections with Ethereum are important to provide liquidity, but the platform also aims to connect all its subnets and chains.

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Cryptopolitan reporting by Hristina Vasileva