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Aavegotchi (GHST) gains 50% as ‘Gotchiverse’ auctions set a path to the Metaverse

October 29, 2021No Comments

The decentralized gaming world has seen significant growth in 2021 as the rise of Play to Win (P2E) games merged with NFT to open the first path to the Metaverse.

Aavegotchi is currently advancing the blockchain-based gaming industry with a somewhat novel approach that incorporates P2E, NFT, and decentralized finance (DeFi) gaming features.

Data of TradingView shows that since hitting a low of $ 1.56 on Oct 1, the price of GHST, Aavegotchi's native token, has rallied 53% to a daily high of $ 2.40 on Oct 29 as its 24-hour trading volume soared 45% to $ 135.8 million.

GHST / USDT 4-hour chart. Source: TradingView

Three reasons for the building momentum in GHST's price are Gotchiverse's ongoing land auctions requiring GHST to bid, various high-profile partnerships with gaming guilds and hedge funds, and the overall strength of the gaming sector. based on blockchain.

Land auctions gotchiverse

The biggest development that helps drive up the price of GHST is the ongoing 'Gotchiverse' land auctions that are held per protocol. GHST and Gotchi holders are actively bidding to purchase a "kingdom" in the recently launched digital world designed for the project's collectible NFTs.

As seen in the tweet above, there have already been more than 80,000 unique offers made by 2,100 participants, resulting in a combined value of more than 28 million GHST ($ 60 million).

Bidding for land can only be done using GHST, which has put buying pressure on the price of the token and is likely the reason behind the large increase in volume and price observed on October 18.

The Gotchiverse land auction is scheduled for October 31 and includes a total of 16,000 kingdoms.

Video game guilds invest in Aavegotchi

This week, two major gaming guilds announced partnerships that aim to expand the Aavegotchi platform.

The new partnerships include a collaboration with Blackpool, a quantitative hedge fund for NFT, as well as a collaboration with Yield Guild Games (YGG), which invested $ 800,000 in Aavegotchi.

Related: Cryptocurrencies Axie Infinity, Decentraland and 'metaverse' unite after Facebook changes its name to Meta

The metaverse calls

The concept of the Metaverse has also been a frequent topic of discussion throughout the current bull market and many analysts believe that blockchain-based games and play to win will be the best performers in 2022.

As seen in the graph above, tokens in the gaming sector have seen significant price appreciation in 2021 led by Axie Infinity (AXS), which has gained more than 25,000%.

Top 10 game tokens based on year-to-date earnings. Source: Messari

Aavegotchi is actually following a similar path laid out by AXS, which began by releasing its NFT characters and then slowly built its game over time. The project eventually carried out virtual land sales, and today Axies and in-game land are selling for hundreds of thousands of dollars.

This approach has worked well for Axie Infinity, and if all goes well, Aavegotchi could follow the same path to mass adoption.

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