How will the $290 million incentive program launch shape the value of the AVAX token?
- AVAX’s value increased by 9% in the last 24 hours.
- The trading volume for Avalanche increased by 53% in the last 24 hours.
- AVAX has huge potential for growth going forward.
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Avalanche AVAX/USD is a smart contracts platform that runs on top of blockchain technology and has been one of the main Ethereum ETH/USD rivals.
The mainnet was originally launched in September of 2020, and since then, the token has seen a heightened level of utility as well as value.
The $290 million incentive program as a catalyst for growth
On February 28, we covered how the Wirex payment system enabled its 4.5 million users to access Avalanche (AVAX).
The Avalanche Foundation made an announcement about what is known as the “Multiverse,” which is essentially a $290 million incentive program that will help develop subnets for the network.
A subnet is a dynamic set of validators that are working together to achieve consensus on the state of a set of blockchains. Each blockchain is validated by one subnet, and a subnet can arbitrarily validate many blockchains.
This initiative will begin by supporting subnets that are dedicated to blockchain gaming, DeFi, NFTs, and institutional use-cases.
One of the projects is intended to focus on making a horizontally integrated blockchain, which is built for institutional DeFi with embedded KYC functionality.
This announcement, as well as the overall development, will lead to an increased utility of the AVAX token, which will lead to its overall growth in value.
Should you buy Avalanche (AVAX)?
On March 9, 2022, Avalanche (AVAX) had a value of $78.47.
In order for us to truly see what this value point indicates for the AVAX token, we are going to go over last month’s value points, as well as the performance the token showcased throughout the previous month.
The all-time high value of the Avalanche (AVAX) was on November 21, 2021, when the token reached a value of $144.96. Here, we can see that at its ATH, the token was $66.49 higher in value or by 85%.
Going over the performance the token showcased throughout January, Avalanche (AVAX) had its highest point of value on February 17 at $98.51.
However, the token’s lowest point of value was on February 24, when it decreased to $66.1. Here, we can see that the token decreased in value by $32.41 or by 33%.
However, from February 24 to March 9, AVAX increased in value by $12.37 or by 18%.
With this in mind, AVAX can reach $100 by the end of March 2022, making it a solid token to purchase.