What happened
One of the best-performing cryptocurrencies once again today, Aptos (APT 2.68%), has continued its feverish search for greater near-term highs. As of 1:30 p.m. ET, this Layer 1 blockchain project saw its APT token soar 7.3% over the past 24 hours. This brings the token's two-day gains to more than 50%, far exceeding those of most top-100 tokens over that time frame.
CRYPTO: APT
Key Data Points
Much of this move appears to be tied to excitement around this relatively new blockchain network's ability to process transactions at the fastest rate in the crypto sector. In order for crypto to go mainstream, it will be important for long-term investors to see achievements like this.
Interestingly, development appears to be picking up on Aptos, with automated market maker PancakeSwap tapping Aptos for a key deployment. Notably, a proposal that appears very likely to pass (99% of token holders voting in favor) aims to build on this deployment on Aptos.
So what
Aptos is intriguing. Founded by the original team behind the Diem project, Aptos is a new, purpose-built blockchain that's looking to become one of the fastest and most secure blockchains in the world. The fact that automated market maker PancakeSwap has shown so much interest in Aptos has many in the crypto community taking a closer look at it.
Personally, I want to dive deeper into it considering its strong price action of late.
Now what
As most investors know, a few days of upward price action does not a rally make. Aptos is still down roughly 45% from the peak it reached late last year following its launch. Accordingly, although this project is new and exciting, it's also likely that not enough price discovery has taken place with respect to its token.
Thus, I think this token is certainly worth putting on the watch list. The team behind Aptos is noteworthy, and some high-profile crypto backers have taken this project from an idea to reality. Unfortunately, Sam Bankman-Fried was also involved in the initial financing of this project, which might cast a bit of a shadow over it.
Right now, I think the best course of action with Aptos is to see if this rally is sustainable. Thus far, it appears most of the volume remains bullish on this token over the near term. However, we've seen many near-term rallies blow up over the past year. At these levels, it appears Aptos could really go in either direction. It's a tough call.
