Avalon Labs has completed the purchase and burn of AVL tokens worth $1.88 million, leading to a significant reduction in market supply.
How Did Avalon Labs Implement the Coin Burn?
Starting in June, Avalon Labs began acquiring AVL tokens from the Bybit exchange with $1.88 million USDT. The average purchase price was approximately $0.1347, leading to the permanent removal of 13.9 million coins from the market. A total of 93.9 million AVL tokens have been burned, comprising 37% of the total supply.
Price and Volume Surge Following the Burn
Following the burn, the price of the AVL token increased by 9% to $0.15. However, it remains significantly below its all-time high of $0.70 achieved in May. Daily trading volumes rose by 9%, exceeding $25 million, indicating increased market activity.
Strategic Insights and Future of AVL Tokens
Currently, the circulating supply of AVL tokens stands at 161 million out of a total cap of 1 billion, meaning only 16.6% of the total possible coins are being circulated. Future unlock events could impact these supply dynamics. The project will also need additional strategies to enhance overall market capitalization.
Avalon Labs' recent move highlights their strategic financial planning and determination to influence the market value of their tokens, despite current shortfalls compared to historical peaks.
