Avalanche’s native AVAX token has seen a surge of over 6% in recent trading, sending it past the $40 mark. The rally comes as the blockchain platform prepares to launch a major upgrade dubbed Durango across its Fuji testnet on February 13th.
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TLDR
- Avalanche (AVAX) is a high performance blockchain platform that powers decentralized applications and enterprise deployments
- The AVAX coin has seen some price volatility recently but has recovered from a recent dip, now trading around $41
- There are bullish technical indicators for AVAX, including breaking past crucial price levels and moving average crossovers
- The upcoming Avalanche Durango upgrade aims to improve scalability and interoperability on the network
- If the upgrade goes smoothly, analysts predict AVAX could rally 20-35% to prices between $50-$55
AVAX now boasts a market cap of $15.1 billion, cementing its status as a top 10 cryptocurrency. The coin had previously traded as high as $140 in late 2021 and early 2022 before declining significantly over 2022. After bottoming out around $13 in November, AVAX has mounted a strong recovery.
The latest price action builds on significant momentum for AVAX over the past month. After dipping below $28 in late January, the token has rebounded 21% across the last week. That rebound reclaimed the crucial 50% Fibonacci retracement level at $38.64, turned other key moving averages upward, and lifted AVAX squarely back within its 2023 trading range.
Bullish Technicals Support Further Upside
From a technical standpoint, analysts cite several bullish indicators that could support further near-term rallies for AVAX. The coin now trades comfortably above its 50-day simple moving average, while the Relative Strength Index (RSI) has crossed back above its signal line at 65. This suggests solid momentum that still has runway before hitting overbought territory.
The technical picture boosts the case for the Durango upgrade catalyzing additional price rises. The upgrade focuses on improving communication, scalability, and interoperability between protocols and chains on Avalanche. If successfully implemented on the Fuji testnet, it could build significant anticipation ahead of a mainnet launch.
Some analysts see the technical momentum coupled with upgrade excitement pushing AVAX as high as $50 in the near-term. A highly bullish scenario could also revisit the token’s 2022 high around $55.
Durango: Avalanche Warp Messaging Comes to the EVM ????
The pre-release code has been released for Durango, a proposed upgrade to the Avalanche Network set to activate on Fuji Testnet on February 13th, 2024 at 11am ET.
Durango brings Avalanche Warp Messaging to the C-Chain,… https://t.co/v4ktD0NeSA
— Avalanche ???? (@avax) February 1, 2024
AVAX Powers Diverse Ecosystem of Dapps and Use Cases
The native token of Avalanche powers a network billed as high-speed, low-cost, and eco-friendly. Avalanche incorporates three integrated blockchains: the C-Chain handling financial transactions and dapps, the X-Chain for creating and trading assets, and P-Chain for staking.
DeFi platforms including Aave and Curve operate on Avalanche, as do popular NFT and metaverse projects such as Cryptopunks. Enterprise organizations are also leveraging Avalanche’s high throughput for private blockchains.
Avalanche’s ecosystem facilitates 4,500 transactions per second and confirmation times below 2 seconds, providing significant speed and capacity advantages over older base layer protocols like Ethereum.
By improving cross-chain coordiniation, the upcoming Durango upgrade should expand use cases and cement Avalanche’s value proposition as the ecosystem continues adoption. With developers preparing for launch, the upgrade marks a crucial next step in Avalanche’s maturation.
If Durham rollout goes smoothly and sparks further platform integration, AVAX seems poised to capitalize with its newly bullish technical posture. The token could target the upper bound of its 2023 range around $50, with potential for a further rally towards resistance around $55.
The post Avalanche AVAX Price: Durango Upgrade & Bullish Indicators Support AVAX Price Rally to $50+ appeared first on Blockonomi.