APT is down, but here’s why network activity isn’t slowing down

  • Aptos has seen increased user activity in recent days.
  • The price of APT is set to drop further with a drop in token accumulation.

After a prolonged rally in prices, falling buying pressure sent Aptos lower [APT] price in the last week. However, according to data from Artemisamid a decline in APT value, the past few days have been marked by increased user activity for the Layer 1 (L1) proof-of-stake (PoS) blockchain.

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According to data from the cryptocurrency metrics aggregator, the number of daily active addresses on the network began a rally on February 7th to peak at 28,800 active addresses on February 9th. As of this writing, active addresses on the network totaled 13,500.

Source: Artemis

Additionally, the number of daily transactions on the network reached an all-time high of 265,100 on February 9. Since then, this has fallen by 72%. As of February 10, the number of transactions completed on the network totaled 73,200.

Source: Artemis

According to Artemis, the increase in user activity was due to a “significant amount of activity in NFTs, DEXs and wallets” on the Aptos blockchain.

Read Aptos’ [APT] Price Forecast 2023-2024

APT is for sale, but few are interested

At press time, APT was trading at $13.49. After the alt price peaked at $19.86 on January 26, it has since fallen 32%.

The steep decline in APT price over the past two weeks is due to waning buying pressure. An evaluation of the token’s price movement on the price chart revealed this.

Key momentum indicators previously at overbought highs have been spotted near oversold areas at press time. APT’s Relative Strength Index (RSI) was below its neutral point at 48.88, while the Money Flow Index (MFI) was attached at 35.29.

These showed that the buying momentum has weakened significantly in recent weeks as many traders proceeded to cash out their profits from their initial investments.

With the Chaikin Money Flow (CMF) below the center line at -0.05, the price of APT would inevitably fall further. A negative CMF value indicates that there is more selling pressure than buying pressure. Therefore, as long as the CMF remains in decline, it is reasonable to expect that the APT price may continue to decline.

Source: APT/USDT on TradingView

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