AVAX’s Price Surges by 3.8% Following Acquittal in Platypus Hack Case
- Avalanche (AVAX) leans to the green zone as altcoins continue to correct upwards, recording decent price increases.
- The asset’s recent price surge comes not long after a court acquitted hackers concerning the Platypus stablecoin project.
Avalanche (AVAX) is enjoying certain perks in the cryptocurrency market this week, courtesy of a recent court development. As shown in our data, AVAX briefly secured mild gains as a result, surging by 3.8 percent over the last 24 hours, before losing momentum.
The recent spike in the asset’s hourly gains came not long after hackers involved in attacks targeted at the Platypus stablecoin project were acquitted. Notably, the Decentralized Finance (DeFi) protocol Platypus Finance experienced a flash-loan attack back in February.
Built on the Avalanche blockchain where crypto traders can swap stablecoins, Platypus is an automated market maker that has $59 million worth of digital assets locked in the protocol. In March of 2022, the protocol saw its locked-in assets hit an all-time high of $1.2 billion.
An estimated $8.5 million was lost as a result of the exploit. The news of the attack affected traders and investors of Platypus USD (USP), the protocol’s stablecoin.
The asset lost its price peg to the USD due to this attack and dropped from $1 to 48 cents. In an update shared in the protocol’s Discord server by a Platypus team member, operations were suspended while the team conducted internal security checks. At report time, USP is trading at $0.575154 and the market cap is up by 0.7 percent according to data from CoinGecko.
Avalanche (AVAX), Polkadot (DOT), and LidoDao (Lido) Highest Gainers
It bears mentioning that new developments might not be the rework for AVAX’s current uptrend. According to data from Santiment, three altcoins including AVAX, have previously enjoyed significant growth in market cap value. The increase in market cap value was recorded before Bitcoin crossed the $40,000 price mark.
As Santiment’s report read;
Altcoins like Polkadot, Avalanche, and LidoDao have enjoyed nice market cap growth as Bitcoin continues teasing a possible $40K market value before 2024.
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Market data shared by the on-chain analysis firm revealed that Bitcoin’s social volume was on a decline, while other altcoins saw their social volume soar. Typically this is interpreted as a signal that suggests that there is a slight crowd greed bias.
AVAX notably raked in more than 70 percent worth of gains over the last 30 days. On the other hand, both DOT and Lido have seen their market cap rise by 15 percent respectively over the last 30 days.
At the time of this report, AVAX is trading in the red zone after making a full correction, following the recent 24-hour price surge. The asset hit a new daily high after tapping $23.16 briefly. AVAX is now valued at a press time price of $22.