Cryptocurrencies have formed a new market more than a decade ago. And now more and more potentially profitable coins are entering this fast-paced sector.
Although there are established coins, the less well-known ones maybe even better investment options for both beginners and expert investors. One such crypto is the altcoin Avalanche (AVAX), which deserves thorough consideration and comparison with competitors so that its potential is clear.
Avalanche blockchain is one of the first decentralized, smart contracts platforms initially released in September 2020. It is positioned as a digital ecosystem for business operations and a platform for decentralized applications.
Avalanche prioritizes transaction speed and scalability and is intended to combine Bitcoin security with superior energy efficiency. It is a close competitor to Ethereum. Avalanche’s native currency is AVAX.
As of April 2022, AVAX is traded at approximately $80, and its market capitalization is equal to around $20 billion. The coin reached its all-time high ($146 per coin) on November 21, 2021. AVAX has been showing a clear bullish tendency since July 2021.
Let’s review cryptos that can be paired with AVAX when it comes to investing:
- BNB. Binance coin is now the native crypto of the Binance blockchain, despite being an Ethereum-based token previously. BNB coin’s price, as of April 2022, is about $400, and its market capitalization equals approximately $70 billion. BNB reached the value of $690.93 per coin — its all-time-high — in May 2021.
- WAX. WAX is a carbon-neutral, proof-of-stake-based blockchain. It is intended to be energy-efficient compared to other cryptos. WAX token’s price, as of April 2022, is about $0.28, and its market capitalization equals approximately $530 million. WAX reached the value of $5 per token — its all-time-high — in December 2017. You may consider trading BNB to WAX if you wish to switch to an ERC20 token.
- FTM. Fantom is a scalable blockchain that has similar goals to Avalance. Fantom can perform as a platform for decentralized finance (DeFi), crypto dApps, and enterprise apps as well. FTM token’s price, as of April 2022, is about $1.2, and its market capitalization equals about $3 billion. FTM reached the value of $3.48 per token — its all-time-high — in October 2021.
It is difficult to figure out what crypto is a better investment option and whether you should convert your AVAX to FTM or, on the contrary, purchase a few extra AVAX tokens. It is highly advised to guide your decision based on the investment potential comparison, as promising crypto will not only diversify your portfolio but will likely bring more profit per dollar invested.
When it comes to the lesser-known coins like FTM or WAX, we can talk about rather high volatility they have demonstrated historically. However, this volatility is what helped numerous investors gain large profits. At the same time, BNB is well-established crypto with moderate volatility and predictable price tendencies. It is low-risk and yet potentially less profitable.
AVAX is the middle ground here. It is popular and well-grounded enough to stay in the market for a long time, but it also has the potential to provide opportunities for large profits.
Experts have positive predictions regarding AVAX value in the future:
- GOV capital analysts claim a high possibility of a 15-20% fall in April or May 2022. But they expect the subsequent growth to as much as $250 per coin by the end of 2022.
- Capital.com experts have a more modest prediction, claiming a growth to $150 per coin within the next 12 months.
- Priceprediction.net analysts make a minor correction to Capital.com prediction and stick to $135 per coin in 2022, with a possibility to hit $200 in 2023.
Avalanche is not the most innovative blockchain. It mostly intends to incorporate other cryptos’ advantages like good transaction speed and scalability and become a widespread means of business payment.
Despite being an altcoin, AVAX is a great investment opportunity. Its profitability may potentially exceed earnings from investing in other cryptos like FTM, WAX, and even BNB.
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