- Standard Chartered’s Geoff Kendrick predicts AVAX could reach US$55 by 2025 and US$250 by 2029, over a tenfold increase from its current price.
- AVAX’s growth is driven by its innovative subnet scaling approach and the Etna upgrade, which cuts costs and boosts developer activity.
- The upgrade is attracting developers from Ethereum Layer 2, enhancing AVAX’s potential in gaming and consumer applications.
Standard Chartered has published yet another bold price prediction for cryptocurrencies. This time, it’s Avalanche’s (AVAX) turn, and the firm says the token could even outpace major assets like Ether (ETH) and even Bitcoin (BTC).
Standard Chartered’s Geoff Kendrick forecasts AVAX reaching US$55 (AU$87) by the end of 2025 and even predicts US$250 (AU$400) by the end of 2029.
That would be more than a tenfold increase from its current price. That’s quite interesting to consider, considering AVAX just dipped to US$17.9 (AU$28), an 8% decrease in 24 hours and around 18% in the weekly chart.
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Kendrick’s analysis comes at a time when institutional demand for AVAX is picking up. As Crypto News Australia reported, asset manager VanEck recently filed to register an Avalanche ETF in the US on March 10.
What Could Boost The AVAX Price?
Anyway, Kendrick believes that Avalanche’s unique approach to scaling (which relies on several subnets that connect to a mainnet) contrasts with those traditional methods used by layer-1s like Ethereum or Solana (SOL), making it one of its biggest key growth drivers.
The analyst pointed out that one quarter of the network’s active subnets are already compatible with the recent Etna upgrade, a promising indicator of the token’s long-term potential.
The Etna upgrade, a major update that took place in December of last year, bolstered Avalanche’s prospects, causing a surge in developer activity. Etna basically reduced the cost of creating new subnets, which in turn lowers the barrier for fresh projects to join the ecosystem, which is the 10th largest in terms of total value locked (TVL).
Kendrick noted that some developers are migrating from Ethereum Layer 2 solutions to Avalanche to take advantage of its EVM compatibility. The Etna upgrade has also led to lower transaction fees during periods of low network activity, although fees remain higher than those on some Ethereum Layer 2 platforms, such as Arbitrum.
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This cost dynamic, according to Kendrick, underscores the importance of attracting new applications, especially in gaming and consumer tools, to further drive the network’s growth.
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