Avalanche (AVAX) started the year with a market cap of $281 million with a value of $3.66 in each coin and ending the last day of the year with a market cap of $26.1 billion with a value of $107.42 each coin at the time of writing, after reaching an all time high of $134.53 and a market cap of $30.11 billion in late November.
What drove Avalanche’s price to reach ATH in 2021?
AVAX’s huge momentum was during the last quarter of the year, on November 16th, Deloitte announced a partnership with Ava Labs, the team behind Avalanche, by launching a platform called “Close As You Go (CAYG)” built on Avalanche blockchain.
This platform will aid state and local governments to demonstrate federal funding during natural disasters and public health emergencies. One week after this huge partnership, AVAX reached its all time high.
“Our new Close As You Go platform can play a critical role in helping these leaders be prepared to aggregate and validate the documentation necessary to demonstrate eligibility for funding and reduce the risk of adverse audit findings down the road.” said Alex Haseley, Deloitte & Touche LLP and Deloitte’s government and public services crisis management portfolio leader.
After reaching all time high in late November of $134.53, it started to fall and founded support around $80, until mid December were a report led by Alkesh Shah of Bank of America was published and concluded that Avalanche had a huge scaling capability with faster settlements and lower transaction fees than other alternative blockchains. A few days later, the stablecoin USDC was integrated in Avalanche blockchain, and a week later AVAX price rallied +52% broking the descending channel, as referenced below: