In 2022, John Wu, the CEO of Ava Labs, a blockchain business that creates the software for the Avalanche (AVAX) blockchain, offered a lot of fascinating forecasts for the cryptocurrency industry.
Wu began by presenting Avalanche in an interview with Kelly Evans, anchor of CNBC’s “The Exchange,” on December 31, 2021:
Avalanche is the fastest blockchain. It’s Ethereum compatible and it’s the fastest growing blockchain based on usage.
After that, Wu was pressed to explain why Ethereum has outperformed Bitcoin in 2021, and here’s what he had to say:
Oh yeah. From a price action perspective, sure. And from a usage perspective. I mean Bitcoin was up 65% and I think Ethereum was up 500%. So, yes, from that perspective and market dominance, Ethereum definitely gew, but that’s because there was more usage there on Ethereum.
Wu then went on to discuss how far the cryptocurrency business may expand in 2022:
I think when I come back in 2022, the asset class, which is roughly about 2.3 to 2.5 trillion [dollars], we’ll be talking about [how] the biggest story in 2022 is how the crypto asset class doubled and went to five trillion and it’s going probably be the only asset class that could withstand the headwind from the macro factors of Fed tightening and geopolitical issues that are out there.
And I think the reason is very simple because from where I sit, what I see is basically a massive inflow of talent, capital, and usage and listen, I’m almost embarrassed to say that that’s a prediction because I’m just reporting what I see on a daily basis.
VanEck, a New York-based investment management firm, has added two new ETNs to its crypto offerings: Avalanche and Polygon. The ETNs will allow investors to profit from the price of Avalanche (AVAX) without having to acquire the cryptocurrency directly. Polygon and Avalanche join the firm’s lineup of ETNs, which includes Bitcoin, Ether, Polkadot, Solana, and Tron.
ETNs (exchange-traded notes) are similar to ETFs in that they are traded on a stock market and track a benchmark index. An ETN is a senior, unsecured debt product issued by a bank, as opposed to an ETF, which owns assets that are the foundation of the ETF’s pricing.
VanEck’s request to launch a spot Bitcoin exchange-traded fund (ETF) was denied by the Securities and Exchange Commission, although the SEC eventually approved VanEck’s Bitcoin futures-based fund. VanEck’s existing crypto products in Europe, which now include seven exchange-traded notes, are continuing to grow.
Shiba Inu ($SHIB), a meme-inspired cryptocurrency that saw its price explode earlier this year, has been added to the Avalanche Bridge. The bridge will allow users to transfer their SHIB onto the Avalanche blockchain. Wrapped ether can be locked in the ChainBridge contract so an equivalent token on Avalanche can be minted. Shiba was listed for a spot trading pair on one of the world’s largest cryptocurrency exchanges this week, ByBit.
Avalanche has detailed that the Avalanche-Ethereum Bridge is a “two-way token bridge that enables seamless ERC-20 and ERC-721 transfers between Avalanche (via the C-Chain) and Ethereum.
According to a popular crypto analyst Avalanche has still more room to grow. He says he’s still bullish on the smart contract platform and said it has more room to grow up to more than 280 USD. He’s comparing the movement of Avalanche to Solana’s parabolic move.
Also quoted from the crypto analyst “If the $SOL (Solana) run is anything to go by, then $AVAX (Avalanche) should have plenty of gas left in the tank.”.
Zooming in the crypto analyst chart, seems he plotted that it will go up to 280 USD with a potential of 110% from its current price 128-133 USD.
At the time of the writing the price of Avalanche still swinging from 120-140 USD with an ATR (Average True Range) of 4.2.