If you believe that the bottom is in and a bull run is imminent, what’s the next biggest question you need answered? “What to buy?”
Taking a deep dive into major altcoins and considering Risk/Reward ratio, the Layer-1 that stands out is AVAX. While most people wait for the narrative to shift once the smart investors have placed their bets, being the smart ones can bag even bigger gains. The Banter Fam knows better.
AVAX had a pretty good run in Q3 2021, but it also fell hard during the bearish correction that followed. And the chart is looking ripe for a big move.
We go over reasons why you might want to get an entry in AVAX, or add to your position.
- Chain showing the largest growth in Total Value Locked (TVL) in February 2022.
- Dex volume up 40% = money flow through the ecosystem.
- The ecosystem was one of hardest hit, upside potential?
- Gamefi on AVAX.
AVAX TVL Growth Is Massive!
Despite the market correction in the last few months, the TVL on Avalanche has even outpaced Solana and Fantom to bring it up to 4th place with US$10.62 billion. Only Ethereum, Terra, and Binance Smart Chain come in ahead of it. This is set to grow even more in the coming months and it looks like it wants to bump Binance Smart Chain out of third spot.
Dex volume up a whopping 40% (and growing)
One of the biggest reasons for the rise in TVL for AVAX is that its Decentralized Exchange (DEX) volume is up a substantial 40%. The largest AAVE and Trader Joe (JOE) are in the top two spots for TVL. JOE has recently seen the largest growth in users and is set to surpass AAVE. The more DEXs, the more TVL that can be locked in, making tradable tokens more scarce which brings the token’s value up. As more people look into DEFI to stake tokens for the high percentage passive income gains, and more DEXs come onboard the AVAX train – a 40% rise will almost seem like nothing. It’s only just begun for the chain.
AVAX was one of the hardest hit by crypto correction – still more upside potential
AVAX had a significant trace in price during the recent downtrending market and on-chain data reveals how undervalued this project currently is. Let’s take a look.
TVL is up, and so are transactions. In fact, Avalanche just surpassed Fantom over a 7 day average!
UpBit listing brings fireworks
In light of all this positive data, yesterday’s UpBit (the South Korean exchange) listing came at an opportune moment for AVAX holders, triggering a 14% pump in a matter of moments!
Games and GameFi on AVAX: the next big thing?
It isn’t just DeFi that brings users onto a chain but also NFTs and gaming. Avalanche is a serious contender on both fronts, since its speed and scalability make it incredibly well suited for P2E blockchain games and GameFi. With Avaxtars, Heroes Unchained and more in the pipeline, AVAX is ready to make a big move as the growing number of crypto games, and their gains, increase in popularity. And just look at what happened to Harmony One after DeFi Kingdoms gained traction; TVL on the chain exploded, and the ONE price rallied in spite of a downtrending market.
We try to speculate (based on market data and insights) where the smart investors are going next. AVAX is doing all the right things to bring it into the top ten of cryptos by market cap, but the competition is fierce. We must also stress the fact that we’re just making a prediction based on the balance of probability; but the technicals and fundamentals are all pointing in a similar direction, not least given the bullish momentum in the wider markets: under such conditions, AVAX’s upside potential significantly outweighs the downside risk.