 surged over 100% in a week, but a major investor lost $1.06 million despite the price rise.The launch of ApeChain, a Layer 3 blockchain developed by Yuga Labs, fueled the rally by enhancing dApps, NFT minting, and token trading.){kind=link}
ApeCoin (APE), the cryptocurrency linked to the Bored Ape Yacht Club (BAYC) ecosystem, has experienced a dramatic rise, doubling in value over the past week.
Currently trading at $1.59, APE has seen a 12.23% increase in the last 24 hours and a total price jump of over 100% in just seven days. Its global market capitalization stands at $1.19 billion, up 11.34%, with a 31.93% increase in trading volume.
Unfortunate Trader Loses $1.06 Million On APE
Despite the impressive rally, one major investor recorded a significant loss. According to data from Lookonchain, this whale bought 582,000 APE for $2.24 million at $3.85 in 2023 and staked the tokens.
Even with APE’s recent surge and staking rewards, the whale sold 790,000 APE for $1.18 million, which includes 208,000 APE in staking rewards. This resulted in a staggering $1.06 million loss or a 47% decline on the original investment.
Why is APE’s Price Surging?Â
The much-awaited introduction of ApeChain, a Layer 3 blockchain network developed on Arbitrum One by Yuga Labs, the company behind BAYC, is the main driver of the current rise. ApeChain allows for dApps, NFT minting, and token trading, all of which improve user experience and are entirely interoperable with the APE token.
Investor excitement has been heightened by the debut of ApeChain, which many see as a major step forward for ApeCoin’s long-term prospects.
The ApeChain bridges went online on Sunday, enabling users to move tokens to the new network and automatically receive staking returns on APE, ETH, and stablecoins, according to a pseudonymous Elena on X (Twitter). Staking offers more incentives for customers to lock in their assets and works in a manner akin to fixed-income investing.
ApeChain’s recent partnership with Layer Zero is also a more comprehensive development of the Yuga Labs ecosystem. ApeCoin, which was first released as a native gas token and is now used for other purposes, is a sign of a significant shift for the cryptocurrency. Given its increasing momentum, some community members think ApeCoin may soon challenge Solana.