Should I buy Avalanche (AVAX) at the current price?

By: Stanko Iliev
Stanko Iliev
Stanko is a Financial Analyst for Invezz covering stocks, cryptocurrencies, and worldwide indices. He has significant experience trading forex,… read more.
on Jun 23, 2022
  • June has been a negative month for the cryptocurrency market for now
  • The risk of further decline is not over
  • The rising risks of the recession continue to keep investors in a negative mood

Avalanche AVAX/USD has collapsed from $103.66 to $13,69 since April 02, and the current price stands at $17.31.

The rising risks of the recession continue to keep investors in a negative mood, and we will probably see new lows for the cryptocurrency market in the days ahead.

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The rising risks of the recession continue to keep investors in a negative mood

Avalanche is an open, programmable smart contracts platform that allows you to build decentralized applications.

This platform is designed to achieve high security, and it is fully compatible with Ethereum assets, apps, and tooling with faster speeds, higher throughput, and lower fees. Team of Avalanche added:

Avalanche provides a very strong guarantee of safety when the attacker is below a certain threshold, which can be parametrized by the system designer, and it provides graceful degradation when the attacker exceeds this threshold. It can uphold safety guarantees even when the attacker exceeds 51%.

High gas fees and other adverse effects of slow smart contract blockchains are now a thing of the past, and to deploy smart contracts on Avalanche, will cost you just a tenth of what they cost on Ethereum.

Avalanche can process more than 4,000 transactions per second and is the best verifiable platform for institutions, enterprises, and governments.

Avalanche supports Solidity coding language, while Avalanche Virtual Machines (VMs) enable developers to easily launch blockchains that fit their own needs.

Many projects already collaborate with Avalanche; the most popular ones include Arweave, Aave, BitMart, Chainlink, Mastercard, Bitfinex, Celer, Huobi, Nexo, Cartesi, Coinbase, Curve, Sushiswap, Deloitte, Ankr, and Binance.

AVAX is a cryptocurrency that powers Avalanche, and it serves for securing the network and paying for various infrastructural costs. AVAX also provides on-chain governance for critical parameters of the network, where participants can vote on changes and settle network upgrade decisions.

Technically looking, AVAX remains under pressure, and if you decide to buy this cryptocurrency at the current price, you should consider that the price can weaken even more.

The rising risks of the recession and the uncertainty because of the Russian-Ukrainian war remain in the focus of investors, and we will probably see new lows for the cryptocurrency market in the days ahead.

Technical analysis

Avalanche (AVAX) is trading this Thursday above $17, but it would be a strong sell signal if the price falls again below $15 support.

The next price target could be around $13 or even below; still, if the price jumps above $25, we have the open way to $30.

Summary

Avalanche is a platform that allows you to build decentralized applications and aims to address the blockchain trilemma of scalability, security, and decentralization. Technically looking, Avalanche (AVAX) remains under pressure, and if you decide to buy this cryptocurrency at the current price, you should consider that the price can weaken even more.

Where to buy right now

To invest simply and easily, users need a low-fee broker with a track record of reliability. The following brokers are highly rated, recognised worldwide, and safe to use:

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*Cryptoasset investing is unregulated in some EU countries and the UK. No consumer protection. Your capital is at risk.