AVAX: A Leader in the Next Bull Market | Now is the Best Time to Invest in Avalanche (AVAX)! How to invest in avax currency to make the most money?

In the past two months, AVAX coin has experienced a surge of more than 300%, which has been attributed to the outstanding performance in the RWA and GameFi fields, making it the leader in these two fields. We believe RWA’s growth potential will be 100 times greater than any current DeFi dApp. AVAX Coin is a popular cryptocurrency for traders looking to take advantage of the high volatility in the crypto market. AVAXUSD is one of the most active trading pairs, providing traders with the opportunity to take advantage of price movements between Avalanche coin and the US dollar.

AVAXUSD's high liquidity makes it an ideal choice for traders seeking fast, reliable positions. With the right trading strategy, traders can take advantage of this volatile asset and earn handsome returns. This article will analyze in detail the reasons for the rise of AVAX coins and future trends to ensure that every investor will not miss any opportunity to make money!

Can AVAX hit $50 next?

Avalanche (AVAX) is one of the best performing cryptocurrencies right now. Bitcoin has gained 14.7% in the past 24 hours, which is 85% higher than last week. Furthermore, the coin’s price increased by over 153% on the monthly chart. AVAX's latest price increase comes amid falling prices for other key commodities.

AVAX) will even outperform Bitcoin (BTC) in 2023. Since January, the price of Bitcoin has increased by approximately 150%. AVAX, on the other hand, surged over 280% during the same time frame. However, it's worth noting that AVAX's price hasn't changed much for most of this year. The price of the coin started to increase in November and by December, the price surged.

Additionally, according to DefiLlama data, Avalanche (AVAX)’s TVL (Total Value Locked) has soared from $490 million to $894 million since September 12, an increase of 82%. At the same time, the coin’s trading volume surged by 2436%.

Some analysts believe Avalanche's recent stock price surge may be due to the company's recent partnerships with JPMorgan Chase and Citi. Ryan Mcmillin, chief investment officer of Merkle Tree Capital, said AVAX's cooperation with financial giants will be a big help to its stock price. Mcmillin added: “Recently, AVAX’s strength appears to be related to daily trading volumes surging from around $200,000 to $4.5 million over the past few days, with daily active addresses also showing a solid upward trend.”

The cryptocurrency market is currently following the trajectory of Bitcoin (BTC). Therefore, we may see a price correction in Avalanche (AVAX) soon. However, some analysts said that AVAX was undervalued before its latest surge, which could mean that the coin could consolidate at current levels if it does not face a correction.

However, Avalanche (AVAX) has the potential to continue rising thanks to partnerships with the world's most important financial institutions, including JPMorgan Chase and Citi. If the rally continues, we can set a $50 target for the next phase.

What's driving Avalanche (AVAX)'s price surge?

Rapidly expanding ecosystem

The Avalanche ecosystem has shown significant growth in daily active address data. It increased from 282,700 in early October to nearly 70,000, an increase exceeding 147%. This shows that the Avalanche network is attracting more and more users and developers to participate, and this rapid expansion provides support for the price increase of AVAX.

strong user interest

There is a lot of interest in the Avalanche ecosystem. User activity in this ecosystem continues to grow, reflecting their interest in the Avalanche network and the features it offers. Active user participation and use of a project is crucial to its success in the market.

Technical advantages

As a third-generation blockchain platform, Avalanche has leading technical advantages. It adopts a consensus mechanism with high throughput and low latency, and provides a wealth of development tools and solutions, making it easier to build applications and projects. This technical advantage attracts developers and users, providing impetus for the price increase of AVAX.

Cooperation with financial institutions

Avalanche has recently established partnerships with major global financial institutions such as JPMorgan Chase and Citigroup. These collaborations have brought more recognition and exposure to Avalanche, enhancing market awareness of its potential. The support and participation of financial institutions often have a positive impact on the price of cryptocurrencies.

Avalanche (AVAX) is growing rapidly, providing strong support to the DeFi space.

In the past month, many top public chain ecosystems such as Ethereum, Solana, Fantom and Avalanche have experienced considerable development. In particular, Fantom and Avalanche have launched substantial ecological incentive plans, which not only promoted the rapid growth of the total locked value (TVL) on the two major public chains, but also led to a substantial increase in token prices.

Avalanche launched its $180 million AvalancheRush liquidity mining incentive program in 2021, giving the AVAX token a staggering rise. The price of AVAX quickly climbed from around $23 to a high of $57.6, with gains as high as 150%. This move has brought the Avalanche public chain much attention.

At the same time, the total value locked (TVL) within the Avalanche ecosystem has also shown impressive growth, far exceeding the growth rates of Solana and Fantom, which have similar liquidity incentive programs.

Avalanche’s strong performance demonstrates its increasing value and influence in the DeFi space. The rapid development of its ecosystem and the successful implementation of the liquidity mining plan have attracted the attention of more users and investors, laying a solid foundation for Avalanche's future development.

The biggest innovation of AVAX coin

It lies in the consensus mechanism and three-chain parallel technology of the Avalanche network. The consensus mechanism uses the avalanche protocol, which combines the advantages of workload proof and classic consensus to achieve a balance of high decentralization, low energy consumption and high efficiency. Through repeated random sampling verification methods, the network can reach consensus in an efficient and low-latency manner. The three-chain parallel architecture includes the main chain, parallel chains and external chains, which improves the scalability and performance of the network. The main chain handles consensus and verification, the parallel chain is used for smart contracts and application development, and the external chain interacts with the external network. These innovations make AVAX Coin a highly decentralized, efficient, low-latency and scalable cryptocurrency, opening up broader possibilities for the development of the Avalanche network in practical applications and fields.

Advice on investing in AVAX Coin

Taken together, Avalanche currently appears to be more focused on building infrastructure to attract institutional capital and is taking action in several key areas. For example, they implemented Project Evergreen, launched Avalanche Vista (focused on the RWA field), and entered the EURC stablecoin field. As more and more institutional capital returns to the crypto market, Avalanche has become a presence we cannot ignore. We are optimistic about its future development.

Regarding the price trend of AVAX, it seems to have begun to show an upward trend recently due to the influence of the overall market and some internal positive factors. Currently, AVAX is trying to break above the key $22 level. If it successfully breaks out and holds, the next move could easily reach $60. Otherwise, a pullback to strong support around $15 is possible. This is also a good entry position for long-term AVAX investors.

Predicting the future trend of AVAX token: It is very likely to break through $50

Avalanche (AVAX) token is poised to break above $50, according to on-chain indicators and technical analysis. Continued growth in network usage and rapidly rising TVL lock value suggest that the AVAX token price may rise. Especially in 2024, the explosion of the real world assets (RWA) and GameFi sectors may further drive the rise of the AVAX token.

However, it is important to note that in order to sustain bullish sentiment, Avalanche (AVAX) will first need to overcome initial resistance at $40, which is an important turning point. Recently, Avalanche investors purchased 7.05 million AVAX, worth approximately $260.85 million, as a tactical response to the pullback in the global cryptocurrency market. If these holders decide to sell at the break-even point, the AVAX token may struggle to breach the $40 threshold. But once it breaks through the $40 mark, the price of AVAX is likely to climb to $50 in the next few weeks.

Another important level of resistance along the way is $45, which was affected by the May 2022 TerraUST crash. From an on-chain perspective, Avalanche’s market supply has been significantly reduced due to the surge in staking activity, helping to maintain the critical $35 support level. As the staking balance continues to increase, the AVAX token may experience a bullish reversal.

Recommendations for the best exchanges to invest in AVAX coin in 2024

Summarize

Overall, the price of the Avalanche (AVAX) token has increased significantly from September 2023 to February 2024, with increases as high as 120%. Despite overall crypto market sentiment being subdued and facing a correction at key resistance levels, the AVAX token has shown strong resilience, driven by rapidly growing staking and on-chain activity in its network. Avalanche’s strategic focus on RWA and GameFi, as well as partnerships with traditional financial entities and increased adoption in the GameFi space, have also increased the price and total locked value of the AVAX token.

Looking ahead, a price break above $50 for the AVAX token appears to be a reality, depending on overcoming key resistance levels and maintaining the bullish momentum driven by on-chain indicators and technological advancements. However, investors should continue to be aware of potential market dynamics and areas of resistance that could impact AVAX's trajectory. As the Avalanche ecosystem continues to grow and expand, its role in the blockchain and DeFi space looks set to grow further and become important.