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The host of popular crypto trading show Coin Bureau has updated followers on a realistic year-end price target for the smart contract platform Avalanche ($AVAX).
Below is a brief description of Avalanche from its developer documentation:
“Avalanche is an open-source platform for launching decentralized applications and enterprise blockchain deployments in one interoperable, highly scalable ecosystem. Avalanche is the first smart contracts platform that processes 4,500+ transactions/second and instantly confirms transactions. Ethereum developers can quickly build on Avalanche as Solidity works out-of-the-box.
“A key difference between Avalanche and other decentralized networks is the consensus protocol. Over time, people have come to a false understanding that blockchains have to be slow and not scalable. The Avalanche protocol employs a novel approach to consensus to achieve its strong safety guarantees, quick finality, and high-throughput, without compromising decentralization.
“AVAX is the native token of Avalanche. It’s a hard-capped, scarce asset that is used to pay for fees, secure the platform through staking, and provide a basic unit of account between the multiple subnets created on Avalanche. 1 nAVAX is equal to 0.000000001 AVAX.“
According to a recent YouTube video, Coin Bureau’s host “Guy” told viewers he expects $AVAX’s price to benefit from the upcoming Avalanche Apricot upgrade. The new feature will impact the fee structure for smart contracts operating on Avalanche’s network.
As reported by the Daily Hodl, he said:
Prior to this, Avalanche smart contracts had a fixed fee mechanism. Now the reason why this is so significant is because all AVAX used to pay for transaction fees is burned and a dynamic fee schedule could mean more AVAX going up in flames when the network is seeing a lot of activity.
Coin Bureau’s host said he expects Avalanche’s network activity to skyrocket in the coming months as more decentralized applications (DApps) make their debut on the platform. Guy also highlighted Avalanche’s network bridging, which allows users to transfer tokens between the Avalanche and the Ethereum blockchains.
The host went on to give a “realistic expectation” for $AVAX’s end-of-year price target. According to Guy, the price could rise to $100, but said front-running made $80 – $90 a safer sell range for investors. He also said it’s possible $AVAX could rise “much higher than that,” but this would ultimately depend on the project’s new announcements in the coming months.
On March 25, another popular crypto analyst — Lark Davis — reviewed Avalanche, which went live on the mainnet on 21 September 2020, in a video for his YouTube channel.
Here are a few highlights from Davis’s comments about Avalanche:
“The specific use cases that Avalanche is developing to accommodate for include things like private securities, initial litigation offers… basically allowing investors to take a cut of lawsuits… There’s actually one going on right now for like a billion dollars using Avalanche. So, that’s a really interesting use case. As well as decentralized exchanges,… stable coins, prediction markets, equities, bonds, debt, real estate…
“So, largely we’re looking at something on the more traditional side of finance when it comes to it. In total, there are already over 1,800 tokenized assets on Avalanche, which I think is really incredible considering that Avalanche has only been operational for less than a year right now. So, that’s crazy. Avalanche also has partnerships in place with loads of hot cryptocurrency companies… So, in terms of having a functioning ecosystem, it’s actually way ahead of many of the 2017-2018 zombie chains… It’s also quite impressive that they have done so much in just a such a short amount of time...
“Their technical specifications [are] top-notch, very interesting, obviously team behind it makes this quite exceptional as well. The stake rewards are attractive. It’s no wonder we’ve seen so many people piling into Avalanche to get those stake rewards. Token burns make for interesting token velocity over time. My guess is that we’re going to hear a lot more about Avalanche moving forward.“
Disclaimer
The views and opinions expressed by the author, or any people mentioned in this article, are for informational purposes only, and they do not constitute financial, investment, or other advice. Investing in or trading cryptoassets comes with a risk of financial loss.
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