The DeFi market is rallying after a slow two years, with various projects of different market cap sizes now seeing major signs of renewed interest among retail and institutional traders.
While not every coin in DeFi is on the rise, this article details some promising projects that are trending upwards due to recent price catalysts. Let’s dive in.
El Hippo (HIPP)
El Hippo is the sallest project on our list by a long shot. As such, it’s high risk, but also has the potential for the highest gains if the upward trend continues. So what’s making HIPP prices rise?
El Hippo is a fairly new meme coin, launching in August and already amassing 100,000 followers on social media channels thanks to regular airdrops and meme contests funded by the team as well as a loyal community now generating memes of their own accord. HIPP is now trending on social media, a great sign for a meme coin in particular, as meme coins live or die by their social media activity. The coin is up around 200% since launch and reached a new monthly high last week as prices continue to climb.
With centralized exchange listings being teased by the team, $700 given to the community every two weeks, and a constantly expanding fan base spreading hippo memes online, it’s possible that the project is building up to reach critical mass in the near future. Of course, with just a $5 million market cap, the project is a volatile one and investors should choose for themselves whether they want to take a bet on an upcoming moonshot crypto.
PancakeSwap is also seeing a major upward trend with a 113% increase in trading volume in the last 24 hours alone. PancakeSwap is primarily a decentralized exchange that allows DeFi users to swap coins without relying on centralized options like Coinbase or Binance, an increasingly in-demand service in the crypto space.
CAKE is now trading at $2.74, a 140% increase in the last month as the market starts to take notice of a coin that has fallen by the wayside like many other projects during crypto winter. If the latest rally is anything to go by, it’s possible that CAKE has more climbing to do, making it an appealing option to traders looking for a mix of an established coin that doesn’t have too high of a market cap.
Avalanche is undergoing a rally following an integration with Onyx, a bank-led blockchain platform under the umbrella of the world-famous JP Morgan bank. Avalanche is an Ethereum rival, a blockchain network capable of supporting decentralized applications as well as facilitating over 4,000 transactions per second.
By focusing on scalability and speed, two major historical issues with Ethereum, Avalanche has made a name for itself as a Web3 contender that might end up hosting many of the apps now being built in Web3 and blockchain.
While Ethereum now uses the Proof of Stake consensus method that Avalanche started out with, Avalanche has spent more time proving itself as a PoS network, and with the new Onyx partnership, it has the institutional clout to show for it.
Can DeFi Come Back?
It’s possible that the rally we’re seeing is just the start for DeFi, although it’s too soon to start popping champagne bottles. If DeFi continues the upward trend, however, it’s entirely possible that more projects in the space will follow suit and strengthen the case for a wider bull run throughout the DeFi and crypto industries.