The world of decentralized gambling saw significant growth in 2021 when the rise of play-to-earn (P2E) gaming merged with NFTs to open the first path to the Metaverse.
Aavegotchi is currently advancing into the blockchain-based gaming sector with a somewhat novel approach that includes features of P2E gaming, non-fungible tokens (NFTs), and decentralized funding (DeFi).
Data from TradingView shows that the price of Aavegotchi’s GHST native token has risen 53% from its low of $ 1.56 on Oct. 1 to a daily high of $ 2.40 on Oct. 29, during its Dec. -Hour trading volume increased 45% to $ 135.8 million.
Three reasons for the rising momentum in GHST’s price are the ongoing Gotchiverse land auctions requiring a bid from GHST, several high profile partnerships with gambling guilds and hedge funds, and the general strength of the blockchain-based gambling sector.
Gotchiverse Land Auctions
The biggest development helping to increase the price of GHST is the ongoing “Gotchiverse” land auctions run by the protocol. GHST and Gotchi owners are actively bidding for the purchase of a “realm” in the newly released digital world developed for the project’s collectable NFTs.
Only 18 hours until the first #gotchiverse land auction and the statistics are up
80,000 individual bids
$ 28 million GHST volume (60 million + USD value movement!)
$ 880,000 GHST paid in #BidtoEarn rewards
Over 2,100 unique participants
Two days left!
Join https://t.co/MFo5gcJRRZ pic.twitter.com/vDK59sSGFt
– Aavegotchi (@aavegotchi) October 29, 2021
As can be seen in the tweet above, there have been over 80,000 unique bids from 2,100 participants, bringing the total to over 28 million GHST ($ 60 million).
Bids on land can only be made with GHST, which put the pressure to buy on the token price and is likely the reason for the huge volume and price spike on October 18th.
Gotchiverse’s land auction runs through October 31 and comprises a total of 16,000 realms.
Gaming guilds invest in Aavegotchi
This week, two major gaming guilds announced partnerships aimed at expanding the Aavegotchi platform.
We can no longer keep silent …
BlackPool is absolutely thrilled to join the #Gotchiverse!
Find out the details of this great partnership here: https://t.co/RP1nutpUK0 pic.twitter.com/6fXR7hRDKO
– BlackPool (@BlackpoolHQ) October 28, 2021
The new partnerships include a collaboration with Blackpool, a quantitative hedge fund for NFTs, and a collaboration with Yield Guild Games (YGG), which has invested $ 800,000 in Aavegotchi.
Related: Axie Infinity, Decentraland and “Metaverse” cryptos all rebound after Facebook was renamed Meta
The metaverse calls
The concept of the metaverse has been a frequent topic of discussion even during the current bull market, and many analysts believe that play-to-earn and blockchain-based games will be the top performers in 2022.
As can be seen in the graph above, tokens in the gaming sector saw a significant price increase in 2021, led by Axie Infinity (AXS), which rose more than 25,000%.
Aavegotchi actually follows a similar path set by AXS, which began with the release of its NFT characters and the slow build-up of its gameplay over time. The project eventually led to virtual land sales and today, in-game axles and lots sell for hundreds of thousands of dollars.
That approach has worked well for Axie Infinity, and if all goes well, Aavegotchi could embark on the same path to mass adoption.
The views and opinions expressed are those of the author only and do not necessarily reflect the views of Cointelegraph.com. Every step of investing and trading involves risk, so you should do your own research when making a decision.