The Novonix Ltd (ASX: NVX) share price is soaring today to become one of the top performers on the ASX.
At the time of writing, the battery technology company's shares are up 7.08% to $2.42.
In contrast, the S&P/ASX All Ordinaries Index (ASX: XAO) is 0.57% as the rally continues following upbeat investor sentiment.
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What's powering Novonix shares ahead?
Despite the company not releasing any announcements since its full-year results, the Novonix share price is surging today.
This comes as a number of lithium and battery tech shares are rising following recent broker upgrades.
The share price of lithium producer Pilbara Minerals Ltd (ASX: PLS) rocketed to an all-time high of $4.79 earlier in the day.
Similarly, the Allkem Ltd (ASX: AKE) share price also roared into uncharted territory.
As reported by my Fool colleague James, both Macquarie and Bell Potter believe lithium prices still have further to run.
This is due to the pent-up demand for electric vehicles and the widening supply gap in the market at the moment.
A report by the IEA anticipates that demand will grow by more than 40 times over the next two decades. Furthermore, graphite, cobalt and nickel are expected to follow, with demand accelerating to about 20-25 times.
Nonetheless, the global need for lithium is pushing ASX-listed materials shares to record levels.
The S&P/ASX 200 Materials (ASX: XMJ) sector is up 6% in the past week and could go higher given the positive outlook on the lithium industry.
Novonix share price snapshot
In the early part of 2022, the Novonix share price became the new 'it' child after rising almost 1,000% over the previous year.
However, the shares gradually tumbled throughout 2022 until hitting a year-to-date low of $1.94 in July.
While there's been a slight recovery over the last few months, the company's shares are down 73% for the year.
Novonix commands a market capitalisation of around $1.1 billion.
