Popular crypto analyst Elliot Wainman shared his analysis for the altcoin Avalanche, which he thinks will start a new liquidity tsunami in the ecosystem and will be valued 1,000 times. Trading at $49.87 at the time of the video, AVAX is currently trading just below its intraday ATH of $64.87. Analyst expects these levels at the end of the year…
Overview of Altcoin Avalanche and its ecosystem
According to the analyst, Avalanche is a promising “Ethereum killer” that offers an extremely fast, environmentally friendly, and low-cost ecosystem. It can be summarized in the following sentence:
Avalanche is the fastest smart contract platform as measured by time to commit transactions and has the most validators to ensure the effectiveness of any PoS protocol.
One of the most appealing points of Avalanche is that Avalanche provides decentralized crypto trading that anyone can start and use, and it does this with a unique network in the digital realm in providing sub-second transaction confirmations. Also, an interesting feature worth mentioning in Avalanche is the Avalanche Bridge . Basically, Avalanche Bridge connects directly to your MetaMask wallet for fast, cheap, and secure transfers of Ethereum to and from Avalanche. Analyst Wainman says of the duo:
If you move more than $75 tokens from Ethereum, they will give you a small amount of AVAX on the other side.
Avalanche brings a big wave to the ecosystem
Recently, the Avalanche Foundation announced a $180 million DeFi Incentive Program. Titled “ Avalanche Rush, ” the program will bring “blue-chip” DeFi applications to Avalanche, starting with two popular protocols, Aave and Curve, two of the largest DeFi protocols with total value lock (TVL).
We reported on July 29 as Ethereum launch of the bridge recorded a remarkable increase since the Avalanche and just went over $ 2 billion in TVLine 5 weeks. It was perhaps one of the most explosive launches of all L1s to date, according to the analyst:
With Ethereum 2.0 taking its time and users switching to cheaper L1s and L2s, Avalanche is certainly well positioned to attract much more liquidity and users in the coming months, fueled by its massive liquidity incentive program.
AVAX price movements
Altcoin AVAX is currently trading above $60, capturing a 4-day series at $36 each, about 10%. Now, it is trying to put pressure above the $64.87 ATH recorded on the day. He explains the analyst’s forecasts for the long term:
Obviously not a cheap cryptocurrency. But I think Avalanche has a big trajectory ahead of it. We found it to be around $2 before 2021. And I think it hit a few hundred dollars this year. With its price going from under $10 to $55 in just one month, AVAX was among the top earners in August with other popular L1s like the ADA, LUNA and SOL in good company. While AVAX itself is already making a strong debut now, the analyst advises the best strategy is to look at smaller projects or emerging yield farming opportunities in the Avalanche ecosystem. Analyst Wainman also warns that there is an 80% to 90% probability of a correction:
With its price going from under $10 to $55 in just one month, AVAX was among the top earners in August with other popular L1s like the ADA, LUNA and SOL in good company. While AVAX itself is already making a strong debut now, the analyst advises the best strategy is to look at smaller projects or emerging yield farming opportunities in the Avalanche ecosystem. Analyst Wainman also warns that there is an 80% to 90% probability of a correction:
This is a very pumptastic and dumptastic type layer-1. Think of all the ETH killers in 2018, we’ve seen it rise to the skies and then fall. So the probability of this happening to Avalanche is very high. But I believe there will be a giga pump here by the end of the year, and L1s and other competing altcoin projects and major cryptocurrencies in these ecosystems will take to the skies.