Avalanche: Where’s AVAX Headed? Updates & Price Predictions!

As the crypto Market continues to evolve Smart contract cryptos are starting to Claim certain niches it appears that Avalanche with its subnet architecture Is starting to claim the gaming Niche Now this is significant considering that Crypto gaming could be one of the Biggest narratives of the next bull Market so what could this mean for avac Well in today's Avalanche update we give You all the answers including what the Project has been up to and where it's Headed next so stay Tuned I'll start by saying that nothing In this video is financial advice it's Purely educational content that's meant To inform you about Avalanche I'll also Note that a few members of the coin Bureau team hold avac as part of their Personal crypto portfolios but we will Keep our analysis as objective as Possible if you're wondering what other Cryptos we hold you can become a member Of the coin Bureau Club where we review Promising small C cap alt coins that our Members vote for discuss them in Exclusive Discord channels and give you Realtime analysis of the market the link To that will be down in the description Anyways with all that said it's been More than a year and a half since we Last covered Avalanche so I reckon a Quick refresher is in order so as noted In the introduction Avalanche is a smart

Contract cryptocurrency it was founded In 2018 by computer scientist and former Cornell University Professor em Gonera Avalanche was built by aval Labs A company based in the United States and Its ongoing development is overseen by The Avalanche Foundation a nonprofit Organization that's based in Singapore Avalanche raised $60 million across Various icos in 2019 and 2020 and an Additional $580 million from VCS in 2021 And 2022 however it is important to note That the Avalanche Foundation lost up to $200 million when Terror collapsed in May 2022 that's because Tera had traded $100 Million of us and $100 million of Luna For $200 million of avax with the Foundation we'll come back to all of That later now avalanche's main net went Live in 20120 and though the project is Technically still in development it is To all intents and purposes fully Functional in contrast to most Cryptocurrencies Avalanche is not a Single blockchain it's a network of Three separate but related blockchains The contract chain or C chain is a Standard proof of state blockchain that Leverages a modified version of the Ethereum virtual machine or evm for Smart contracts it uses a novel Consensus mechanism called Snowman and Its purpose is to host all the

Decentralized applications on Avalanche then there's the platform Chain or pchain which is another Standard proof of stake blockchain that This time leverages the platform virtual Machine its purpose is to coordinate all Activities related to avalanche's Validators including the creation of Custom blockchains called subnets which Can leverage avalanche's validators for Security and finally The Exchange chain Or xchain is a novel dag blockchain that L aages the Avalanche virtual machine Its purpose is to allow for the creation Of avalanche native tokens or Ants for context avalanche's mission is To tokenize all real world assets hence The importance of the exchain and evance Now if you watched our previous Avalanche review you'll know that each Of these chains has a different Transaction speed back then the c-chain And pchain could process up to 1,500 TPS Whereas the xchain could process up to 4500 TPS today it's no longer noted how Fast the C and P chains are it's also Not clear how many transactions per Second subnets can process but Avalanche's documentation implies that It could be more than 4500 on that note Avalanche's three core blockchains are Secured by the same set of almost 1,800 Validators the Avalanche explor notes That there are over 100 subnets but it

Seems that only around 30 are active the Average subnet is secured by around Eight validators with the most popular Subnet being Beam avalanche's validators must stake a Minimum of 2,000 avac which works out to A whopping $80,000 at the time of shooting Thankfully though delegation is possible With just 25 avac any staked avac is Locked for 2 weeks staking rewards are Currently around 7.5% and there's no Slashing risk besid staking avac is used To pay for transaction fees on Avalanche's three blockchains all Transaction fees are burned and over 4.1 Million avac have been burned so far for Reference avac has a maximum supply of 720 million half of which was allocated To staking rewards that will last until 2029 the allocation for the other half Of Ava's Supply can be seen here feel Free to pause in order to look for those Listening roughly 27% went to the team And foundation and the remaining 23% was Either sold to investors aird dropped or Distributed to insiders such as advisers And the vesting schedule for this avax Can be seen here again feel free to Pause in order to have a look for those Listening there are multiple vesting Cliffs for all parties that last until Later this year it's important to note Though that this information came from

Coin gecko as Avalanche seems to have Deleted the original info it's also Important to note that avax is not Required to pay for transaction fees on Avalanche's subnets keep that in mind as It will be relevant later on and if You're enjoying the video so far smash That like button to give it a boost and Consider subscribing to the channel and Pinging that notification Bell so you Don't miss our next altcoin update Anyways given that it's been more than a Year and a half since we last covered Avalanche there's no way that we can fit All the updates into a single video this Means we'll have to skip a few for the Sake of time so if there are any Important ones you believe we've missed Do drop a comment to let us all know Okay shortly after our last video went Live in June 2022 Avalanche launched its Highly anticipated Bitcoin Bridge According to June Analytics over 10,000 BTC were bridged from Bitcoin to Avalanche at its peak there's still Around 3.1k BTC bridged which works out To almost $150 Million worth in July 2022 avalanche's popular pangal index Announced it would be expanding to flare The xrp Affiliated evm compatible layer 1 a few months later the popular Trader Joe deex expanded to the ethereum Ecosystem deploying to both ethereum and Its arbitrum layer 2 then in August 2022

Avac crashed after a report alleged that Avalanche had been paying law firms to Direct Regulators to avalanche's Competitors the allegations included Videos of an interview with a lawyer Seeming to admit this many of Avalanche's competitors have since been Targeted by the SEC anyhow in September 2022 ethereum layer 2 Boba Network Launched the first layer to on Avalanche Asset manager KKR also tokenized a Healthc care fund on the Avalanche Blockchain as most of you will know Institutional investors are obsessed With tokenization and seem to be Interested in avalanche as a result then In October 2022 the openc nft Marketplace launched on Avalanche Avalanche also partnered with a Japanese Media giant called gree to build web 3 Games on its blockchain I'll quickly Note that aval lch has recently been Expanding aggressively in Asia which Foreshadows more announcements like this Speaking of which in December 2022 Avalanche partnered with Chinese E-commerce giant Alibaba to make it easy To launch validators on Avalanche Avalanche also launched the warp Messaging protocol making subnets Interoperable this foreshadows new use Cases and Partnerships within Avalanche Then in January 2020 23 the bullish news Continued with Avalanche partnering with

E-commerce giant Shopify making it Possible for merchants to Mint nfts on Avalanche Avalanche also partnered with Amazon's AWS to provide blockchain Solutions for institutions including Governments in February 2023 an Orderbook based Dex called Dex aot Launched a subnet on avalanch while a Gaming studio called dos Labs also Launched a subnet better yet Avalanche Partnered with the cloud arm of Chinese Tech Giant tensent to help institutions Adopt blockchain and as a cherry on top Avalanche announced the launch of the Hyper SDK which makes it possible for Developers to build scalable blockchains With brand new virtual machines these Blockchains will be called hyper chains And they sound eerily similar to subnets Just more customizable in March 2023 a Digital Securities platform from Lux Berg announced that it would be you Guessed it tokenizing assets on Avalanche unfortunately though this good News was overshadowed by the outages on Avalanches X and C chains reportedly Caused by a bug in the updated code Fortunately this bad news was Overshadowed by a big headline in April 2023 and that's that the Merit Circle Dow would be launching a gaming focused Avalanche subnet called beam news flash Beam has been one of the top performing Cryptos as of late hitting a market cap

Of over $1 Billion gaming studio gonzilla also Announced that it had launched a subnet On Avalanche for its upcoming game Called off the grid Ava Labs also Introduced Evergreen subnets which are Basically subnet templates that make it Easy for institutions to build subnets For institutional use cases but wait There's more in May 2023 alibaba's Cloud Division unveiled a meta Launchpad on Avalanche Circle launched its Euro Stablecoin on Avalanche and Ava Labs Launched Ava Cloud a tool that lets you Build blockchains without having to Write a single line of Code there was just one problem the Avalanche Bridge according to a May 2023 Report over $300 million of illicit Crypto had been bridged to Avalanche Using said Bridge following the report a Lanch implemented a screening process to Ensure that no more illicit crypto is Bridged over and increased the time it Took to bridge back yikes to add insult To injury a July 2023 report found that The Avalanche Twitter account had the Second largest percentage of fake Followers of all crypto project accounts For what it's worth only around 8% of Avalanche's Twitter following was Determined to be fake with the first Placeholder having just 10% but the Bearish Avalanche news continued into

The Autumn when an avalanche clone of The popular friend Tech app called Stars Arena was exploited for $3 million of Avax shortly after its launch in October 2023 to their credit Stars Arena managed To refund 90% of the funds that were Lost but the Autumn of discontent wasn't Over in November 2023 Ava Labs announced That it would be laying off 12% % of its Staff and shortly afterwards an Ecosystem accelerator revealed that it Had invested $10 million into Avalanche's ecosystem giving the Impression that said ecosystem was in Fact low on cash this doesn't seem to Have been the case however because in December 2023 Avalanche announced the Launch of a $100 million culture Catalyst fund which it would use to buy Meme coins on Avalanche Avalanche also Recently revealed the criteria for which Meme coins it would buy link is in the Description if you're interested anywh Who in January of this year interest in Avalanche spiked due to the launch of Avalanche inscriptions now if you Watched our video about Bitcoin Inscriptions you'll know they involve Attaching data to small fractions of a Crypto coin the Chinese crypto Community Reportedly went wild for Avalanche Inscriptions as with Bitcoin the hype Around Avalanche ordinal seem to have Put a strain on its blockchain because

Ava Labs subsequently announced that it Would be launching a scaling solution Called Vick which can process up to 100,000 transactions per second Naturally it uses the hyper SDK and Finally earlier this month shrapnel a Highly anticipated blockchain game on Avalanche launched for select users on The Epic gam store shrapnel is expected To fully launch in 2025 which is good Timing given that this is likely when The bull market Mania will hit its peak Note that trapnel has its own subnet now The consequence of all of avalanche's Updates developments and Partnerships Can be clearly seen in Ava's price Action as you can see avax had a strong Start to 2023 but then collapsed in the Second half of the Year likely due to All the bearish news about Avalanche and The focus being mainly on bitcoin and Those ETFs Ava's Supply growing by over 90 million since June 2022 also probably Didn't help its price assuming an Average price of $20 per avax it could Have seen as much as $1.8 billion of Sell pressure now this sounds like a lot But it only works out to around $100 Million per month and it assumes all of This avax was sold which well it Probably wasn't however that's just the Supply side of the question according to Avas scan the number of daily Transactions on Avalanche fell off a

Cliff in April 2023 it's not entirely Clear why this happened but we suspect That it's because the activity on Avalanche moved from its core Network to Its subnets you'll recall that avax Isn't required to pay for transaction Fees on subnets logically then this Means all the activity on these subnets Doesn't translate to any actual demand For avac the caveat is that subnets must Spin up their own validators which Requires buying 2,000 avacs but you'll Recall most subnets only have around Eight validators regardless the sharp Decline in avax transactions combined With those bearish headlines seems to Have been what caused Ava's price to Collapse in the second half of the year To put things into perspective avac hit A low of $8 during the Autumn when those Bearish headlines were coming coming Thick and fast and this was even lower Than the $10 avax had hit after FTX Collapsed in November 2022 so those of You who bought around that time Essentially managed to buy the bottom Cudos if you did since that time avax Has rallied by almost 6X and appears to Be painting a massive bull flag on the Weekly chart depending on how you draw Your lines avac could rally as high as $70 in the coming weeks and it's Possible it could go even higher if the Macro conditions are favorable there's

Just one thing to remember however and That's that tera's Luna Foundation guard Is apparently still holding just under $80 million worth of AAC some of you Might have heard that Tera recently Filed for bankruptcy in the United States this means it's possible that This avac will soon be liquidated the Catch though is that the demand side of The equation is looking much better and The recent headlines have been very Bullish this should make it easy for Avac to absorb this and any other sell Pressure coming from Terror and indeed Any other entities that went bankrupt During the bare Market not only that but It's easy to forget that avalanche's Mission is to tokenize all real world Assets if you watched our video about The biggest narratives of the next Crypto bull market you'll know that Tokenized real world assets could be one Of them this could in turn be extremely Bullish for avac throw in avalanche's Gamef focus and you have the recipe for A truly massive rally once the crypto Market reaches Peak fomo while it's hard To say just how high avax could go if it Follows the other large cap altcoins Like Soul it could pull a 5 to 7x from Its current levels if not more in the Long term if you're planning on trading Avac by the way then you need to check Out the coin Bureau deals page it's got

Trading fee discounts of up to 60% and Sign up bonuses of up to $50,000 on the Best crypto exchanges these deals are Available for a limited time only so Take advantage of them while you can the Link will be in the description now Whether avax will achieve its long-term Potential ultimately depends on Avalanche's upcoming Milestones although There's no official road map for Avalanche avb's co-founder Kevin S II Posted a de facto road map on Twitter in December 2023 in response to vitalic Ban's updated ethereum road map Kevin's Quote wishlist included eight Milestones The first is improvements to avalanche's Consensus specifically to reduce its Finality time from 1 to 2 seconds to 250 Milliseconds now perhaps we're mistaken But we're pretty sure this would Technically make Avalanche the fastest Crypto to on the market more about how Crypto speed is calculated using the Link in the description I Digress now the second milestone is to Increase the capacity of the Avalanche Consensus by increasing Hardware Requirements to our understanding this Would have the Practical effect of Further increasing avalanche's TPS but The tradeoff is that the higher Hardware Requirements could result in Centralization the third Milestone is Quote deep code refactoring which

Involves improving avalanche's modified Version of the evm the goal of this Would be to make upgrades to this evm Safer and Faster we suspect this could be a tacit Response to the outage that Avalanche Reportedly experienced in March 2023 the fourth Milestone involves Various database upgrades these would Make avalanche's version of the evm much Faster as a fun fact by the way the evm Is inherently limited to a few hundred Transactions per second one of Avalanche's biggest Innovations was Modifying the evm to increase this TPS Into the thousands anywh who the fifth Milestone involves various subnet Updates these would involve making it Possible to stake avac on the C chain Which would be a welcome development Given that this currently requires Hopping chains to do unless you're using A liquid staking protocol but well let's Not get too technical now the sixth Milestone is improving avalanche's Aforementioned messaging protocol the Goal in this case would be to reduce the Communication time between subnets to 1 Second this would make avalanche's Messaging protocol the fastest in crypto At least until someone else makes a Faster one the seventh Milestone is Improving the hyp SDK while the eighth Is to encourage the creation of more

Virtual machines using the hyp SDK with a bit of luck these two Milestones could result in the creation Of a new virtual machine that challenges The dominance of the evm in crypto Avalanche founder Emin also mentioned Another big milestone in an interview Last June this is the introduction of So-called coin operated agents which can Be simply understood as validators with AI functionality we'll leave a link to Emin's presentation about this in the Description if you're interested and That reminds me Once Upon a Time Avalanche had plans to Introduce onchain governance in an Interview last January however emmen Said that this plan has been scrapped Because it could invite regulatory Scrutiny note that avax is one of the Few large cap cryptos that hasn't yet Been targeted by the SEC Kevin also made Some shocking comments in an interview Last December when asked about how all of Avalanche's Innovations will increase The value of avac he didn't really have An answer he said that he personally Doesn't care and even argued that value Acrel would hurt avalanche's future Adoption and this brings me to the Challenges we foresee for Avalanche the First challenge is the elephant in the Room and that's the organic demand for

Avax to be clear avalanche's adoption Has been impressive the problem is that Almost all of this adoption has been Happening on its subnets to refresh your Memory avax isn't required to pay for Transaction fees on subnets and subnets Don't need to spin up more than a few Validators in order to function in Theory the avac demand could come from Subnet adoption but in practice this is Going to take a long time and will be Offset by new avac Supply make no Mistake this doesn't mean that avax Isn't going to Rally in case our Analysis of its price didn't make it Clear enough we believe that avax still Has lots of potential in other words Speculation alone will likely be enough To pump its price we just think it would Pump more with Organic demand this ties In to avalanche's Second Challenge and That's regulation the fact that Avalanche lost as much as $200 million In the terror collapse and the apparent Fact that hundreds of millions of Dollars of illicit crypto was bridged to Its blockchain has likely invited a lot Of regulatory scrutiny in recent months This would explain why there have been Multiple changes to the way that Avalanch communicates with its Community These changes include replacing emin's Weekly updates with Community calls Migrating the Avalanche blog and other

Measures which were likely taken to try And avoid Gary gendler's Eternal Unblinking gaze if you watched our video About the sec's lawsuit against binance You'll know which CR criteria the Regulator is using to classify crypto Projects as Securities the fact that Avax hasn't yet been named as a security Is a bit surprising and it could very Well be a consequence of avalanche's Strong institutional backing all we're Wondering though is what regulatory can Of worms Avalanches subnets could open Up for example imagine a scenario where Someone launches a subnet and does Illicit activity with it what if it was A subnet that Ava Labs help them set up With so many subnets launching it's Possible they could run into such an Issue and this relates to avalanche's Third Challenge and that's transparency In case you forgot there's a foundation Based in Singapore which coordinates Avalanche's development this Foundation Is now planning to invest millions of Dollars into meme coins and even Announced that it would be buying $50 Million of tokenized assets on a Avalanch last July and yet there is Still no information about the Avalanche Foundation itself no website no board of Directors no financial statements the Craziest part is that the foundation Only recently revealed its mission

Statement this suggests that it's going To become more involved in the Avalanche Ecosystem and never mind the fact that The Avalanche Foundation literally lost $200 million because of Terror As avax holders we would like to know More about the foundation and its Operations and we reckon that many other Avac holders probably feel the same way After all transparency in crypto is key We all know to verify and not to trust But who knows maybe this transparency Would result in more regulatory scrutiny Anyway challenges aside Avalanche Appears to be perfectly positioned for The next crypto bull market its dual Narrative of tokenized real World assets And gamey will likely Propel avac to new All-time highs regardless of the Fundamentals let's just hope though that All the Innovation doesn't result in any More outages after all salana seems to Have that Niche more than Covered okay that's all for today's Video folks so if you found it Informative smash that like button to Let us know if you want to stay informed Subscribe to the channel and ping that Notification Bell if you know anyone who Needs to be informed about Avalanche Then take a second to share this video With them and with that my friends thank You all so much for watching and I'll See you in the next one this is Guy

Signing [Music] Off