Avalanche (AVAX), the token of smart contract platform Avalanche, has made a splash in the crypto space. Bullish technical indicators and upcoming developments in the Avalanche ecosystem have fueled speculation of a significant price increase, with some analysts predicting that prices could rise to over $100.
The technical side shows green light: a rebound is in sight?
Technical analysis based on historical data and chart patterns paints a promising picture for AVAX. Analysts note that the token appears to have overcome its recent correction phase, potentially laying the foundation for a new uptrend. Charts on trading platforms such as Binance show a support area between $9.45 and $10.00, suggesting that the price could bounce higher, a strong base.
Avalanche ICO Season Coming?
In addition to technical indicators, the discussion around Avalanche also stems from the exciting developments brewing in its ecosystem. The project’s developers are preparing to launch a layer 1 blockchain (L1) that inherits Avalanche’s secure and scalable consensus mechanism.
This innovation could greatly simplify the process of launching new blockchains, similar to how ERC-20 tokens are built on the Ethereum network. In addition, Avalanche CEO Emin Gun Sirer recently proposed a new concept - the initial on-chain offering (ICO). Unlike the traditional initial coin offering (ICO) model, which is the sale of a single token, an ICO will involve offering a brand new blockchain to investors.
This paves the way for a potential “Avalanche ICO season,” similar to the ICO boom in cryptocurrency’s early days, which market observers believe could draw a surge in interest and investment in the Avalanche ecosystem, potentially boosting the price of AVAX.
Key resistance levels to watch
Talking about price targets, analysts have identified key resistance levels at $50 and $60. Overcoming these hurdles could propel AVAX towards its ambitious long-term target of $100. However, the confluence of bullish technical indicators and groundbreaking developments within the Avalanche ecosystem is undeniable.
