What happened
Aave's ( AAVE 18.71% ) token is rising again in trading today. The cryptocurrency was up roughly 22.9% over the previous 24-hour period as of 3:15 p.m. ET on Friday.
The digital token has skyrocketed following the launch of new features on the Aave blockchain network. Its cryptocurrency is now up 58.7% over the last trading week.
Image source: Getty Images.
So what
Aave recently released version 3 (v3) update for its network, introducing improvements for its decentralized finance system. (DeFi) services. Aave v3 has implemented "portals" features that allow assets to move between any Aave-compliant blockchain. The update also introduced isolated market services and a high-efficiency mode to improve functionality and the overall user experience. The improvements seem to be attracting the attention of some crypto whales and crypto investors in general.
Now what
Aave now has a market capitalization of approximately $3.5 billion and ranks as the 47th largest cryptocurrency by valuation.
With new enhancements and feature releases, the fundamental valuation case for Aave appears to be improving and driving further investor interest in the token. If its network continues to improve and build the user base for its DeFi services, that could help push its crypto significantly above current price levels. However, investors should note that the token is likely to continue to be affected by price movements for the broader crypto market, and could experience volatile price swings unrelated to the underlying network services.
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