The nonfungible token, or NFT, sector took the world past storm in 2022 as crypto and corporate sector influencers, globally recognized companies and popular sports teams embraced the growing digital collectible trend.

Later on a cursory sector-wide pullback which coincided with the marketplace-broad declines seen at the starting time of May, the NFT sector roared dorsum to life equally collectibles like CryptoPunks, Pudgy Penguins and Bored Ape Yacht Gild (BAYC) take been selling for record-breaking prices.

One project that has benefitted from the recent bull market in the NFT sector is Aavegotchi (GHST), a decentralized finance- (DeFi)-focused NFT ecosystem that runs on the Aave protocol.

Data from Cointelegraph Markets Pro and TradingView shows that since reaching a low of $0.896 on June 22, the price of GHST has rallied 202% to reach a new tape high at $2.74 on Aug. 13.

GHST/USDT four-hour chart. Source: TradingView

3 reasons for the bullish price performance for GHST include excitement for the upcoming Haunt two portal drop, income opportunities offered from selling Gotchi'southward and wearables and the launch of new mini-games that assistance to attract new users.

Upcoming portal drop excites the community

The biggest development to come out of the Aavegotchi community recently was the announcement of the second Haunt which is scheduled to happen from Aug. 26 to Aug. 29

In Aavegotchi, Haunts give players the only opportunity to obtain newly released Gotchi's, the in-game characters of the ecosystem, and they are summoned through 'portals' which are raffled during the Haunts.

Equally the name implies, Haunt two is only the 2nd portal drib to occur for the Aavegotchi ecosystem and information technology volition innovate fifteen,000 new Gotchi's to the protocol. 12,000 are available via a bid-to-earn sale and three,000 through a raffle.

All bids are made using GHST tokens, and raffle tickets tin can exist purchased with FRENS, a digital asset earned as a reward for staking GHST on the Aavegotchi protocol.

Traders accumulate GHST to buy and sell Gotchis and wearables

A second reason for the growing forcefulness of GHST is the income opportunities generated when participants engage with the platform.

As previously mentioned, there has but been i Haunt that has released portals capable of summoning Gotchi'south and to appointment, 6,992 of the 10,000 portals take been claimed. The most recent statistics show that 425 Gotchi's have been sacrificed, meaning that in that location are currently 6,567 Gotchi'southward in existence.

Raffles offer users the opportunity to win wear items that range from "common" to "godlike" and they can be used equally accessories to increase a Gotchi's value.

Due to the rarity of both Gotchi's and wearables, some users have managed to earn a significant return on investment by selling them in the secondary markets.

Now that a new opportunity to obtain depression-price portals and free wearables through raffles — both of which require GHST— is budgeted, demand for the token is likely to go along to increase until Haunt 2 is complete.

On that note, it is also prudent to offer a word of warning that Haunt 2 has the potential to exist a "buy the rumor, sell the news" type of effect, and information technology could result in a decline in the demand for GHST. In many instances, altcoin prices take dropped once the actual product delivery or hard fork upgrade is consummate.

Related : OpenSea trading volume explodes 76,240% YTD amid NFT smash

NFT summertime brings an added heave

A third reason for the bullish price move in GHST has been the overall operation of NFTs over the past couple of months, which has led many to refer to it as an "NFT summer."

The bullishness seen across the NFT space has translated into price increases in the GHST token besides as the diverse collectibles offered in the ecosystem.

With the momentum behind NFTs standing to build as Aavegotchi prepares to increase the number of collectibles in its ecosystem, it's possible that the value of both GHST and in-game items could continue to rise as new participants discover this unique merger of NFTs and DeFi.

The views and opinions expressed here are solely those of the writer and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading movement involves risk, you should comport your own research when making a determination.