A widely followed crypto analyst is making the case for why a popular layer-1 smart contract platform’s rise against the top two cryptos could lead to more gains in the future.
In a new strategy session, Benjamin Cowen tells his 709,000 YouTube subscribers that Avalanche (AVAX) has been moving higher in comparison to Ethereum (ETH) for several months.
Cowen also says the “worst-case scenario” for AVAX might be that it could oscillate in value over time.
“There is a chance that it increases against ETH. It’s been steadily increasing for quite a while now if you go back to October of 2021, it’s been slowly moving higher.
I think the key thing we’ve got to look for is, are we going to get a break out here [approximately 0.029 ETH]? Because if AVAX breaks out against Ethereum and starts heading [towards 0.06 ETH], that makes it even more compelling…
t makes it even more compelling than it already is because… you’re talking about a cryptocurrency that’s outperforming Ether, [while] Ether is outperforming Bitcoin. That’s the best thing.”
At time of writing, Avalanche is trading sideways and priced at $84.85, while Ethereum is down 1.49% to $3,069.
Moving on to how AVAX stacks up against Bitcoin (BTC), the analyst notes that it’s been in a systematic uptrend against BTC. Cowen adds that how Avalanche stacks up against Bitcoin and Ethereum is “where the real test comes in.”
“This is one of the better altcoin/Bitcoin charts. It’s more or less just been in a systematic uptrend going all the way back to late 2020. AVAX’s Bitcoin valuation has pretty much been in a systematic uptrend. And from the local bottom, you can see it’s up approximately 1,800%.
Again, that’s against Bitcoin, not the US dollar! That’s pretty impressive considering that Bitcoin has also gone up since late 2020.”
Bitcoin meanwhile has dipped slightly by 2% but remains well above the $40,000 resistance level at $43,049.
I
Check Price Action
Don’t Miss a Beat – Subscribe to get crypto email alerts delivered directly to your inbox
Follow us on Twitter, Facebook and Telegram
Surf The Daily Hodl Mix
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Featured Image: Shutterstock/Bryan Vectorartist/Sensvector