Avalanche MOM volume up 167% as L1 networks record growth

Recent data from DeFiLlama suggest an increasing adoption of layer 1 (L1) blockchains in the decentralized finance (defi) sector. 

Avalanche (AVAX), an Ethereum Virtual Machine (EVM)-based layer 1 solution, is experiencing a significant surge in trading activity. Avalanche’s trading volume has risen to approximately $2.73 billion. 

Citing DeFiLlama, crypto reporter Colin Wu revealed that Avalanche’s weekly trading volume escalated by 167% month-on-month during the recent week to reach its highest level since July 2022. 

Similarly, per DefiLlama’s data, Osmosis’s (OSMO) transaction volume also increased by 113% to 490 million, with Solana (SOL), Sui (SUI), and THORChain (RUNE) also hitting record highs.

Some analysts see this growth in the adoption of L1 networks as an indication of a potential shift in user preference within the defi space. Traders and investors are constantly seeking faster and cheaper transaction fees.

Avalanche’s jump in trading volume marked an 88% increase in the price of AVAX in the last 30 days and a more modest 5.6% uptick over the last seven days. In 24 hours, AVAX’s price has also increased 2.3%, with the token currently trading at $22.34.

Most of the other tokens also performed similarly. OSMO registered a 2.7% rise in the previous 24 hours and 9.4% in seven days. SUI was up 2.3% in one day but reported a 3.9% drop in seven days.

The best performance among the L1 chains came from THORChain, whose native token jumped 12% to $7.20 in 24 hours. Its 7-day price chart was also just as impressive, going up 33%. However, it was most exceptional over 30 days, registering nearly a 155% increase in that time.