Avalanche's AVAX Token Projected to Surge 1,150% by 2029
1min read Standard Chartered has initiated coverage on Avalanche (AVAX), projecting significant growth potential for the token, with the possibility of a more than tenfold increase by 2029. This optimistic outlook is underpinned by the bank's confidence in Avalanche's innovative upgrades and its standing as a leading Layer 1 blockchain.
Geoffrey Kendrick, the global head of digital assets research at Standard Chartered, highlighted that the Etna upgrade, which was activated in December 2024, has already demonstrated success. This upgrade has led to a notable increase in developer engagement, with a quarter of the active subnets now compatible with Etna and a 40% rise in developer participation since its introduction. This trend suggests a shift from Ethereum Layer 2 solutions, driven by the ease of compatibility with Ethereum’s programming structure.
Standard Chartered's analysis indicates a strong bullish sentiment for Avalanche, particularly in light of the Etna upgrade. This upgrade is expected to streamline the process of launching subnets within the network. Currently valued at approximately $20, Kendrick’s projections suggest avax could soar to $250 by the end of 2029. This forecast is based on the bank’s confidence in Avalanche as a ‘winner’ among Ethereum Virtual Machine (EVM) competitors.
Avalanche is not only enhancing its network functionalities but is also making significant strides in real-world asset tokenization. Recent developments include BlackRock’s $1.9 billion tokenized fund, BUIDL, which has integrated Avalanche, injecting $52 million of assets onto the network. Such moves could enhance Avalanche’s attractiveness as a platform for tokenized assets.
To support its growth and attract talented developers, the Avalanche Foundation has introduced two significant incentive programs: Retro9000, offering a $40 million grant fund, and InfraBUIDL, a $15 million fund dedicated to AI-related projects. These initiatives underscore Avalanche’s commitment to fostering an engaging ecosystem that supports innovation and attracts new applications across various sectors, such as gaming and consumer tools.
With ongoing upgrades and a clear strategy for development incentives, Avalanche’s future looks promising. Kendrick’s forecasts indicate that AVAX is set to outperform traditional cryptocurrencies like Bitcoin and Ethereum in the coming years. This potential growth, coupled with structural enhancements that ease the path for new projects, positions Avalanche as a key player in the evolving landscape of digital assets.
