A closely watched crypto strategist predicts that Avalanche (AVAX) will experience a massive rise because of one key reason.
Pseudonymous crypto analyst Altcoin Sherpa tells With its 196,600 followers on social media platform X, the Ethereum (ETH) rival could rise more than 12% from its current value.
The analyst says Avalanche is on an upward trend following the launch of Friend.tech rival Stars Arena, a decentralized social finance application (SocialFi), on the AVAX blockchain. Friend.tech launched on Coinbase’s Base blockchain.
“AVAX: Buy AVAX because of Stars Arena. Maybe $12 in the end.
If Base had had a token during FT (Friend.tech), that would have done extremely well too.
People who don’t want exposure to Stars Arena might just buy AVAX and ride it.”
Looking at his chart, the trader expects Avalanche to encounter resistance around its current value and fall to $10.20 before rising above $12 in November.
AVAX is worth $10.66 at the time of writing, up 4.7% in the last 24 hours.
According to the trader, it will remain that way not clear if Stars Arena has a strong future.
“The creator/influencer’s time/energy is becoming scarce when it comes to the overall fragmentation of the social network. Previously, all information/alpha/conversation was shared on Twitter. Now? People share on FT, Stars Arena, etc. Is it possible that many of these social apps win? Hard to say.”
Then the trader say Ethereum challenger Solana (SOL) is likely to drop lower before heading back up.
“SOL: I am confident that these lower levels will come for Solana. [It] should be good dip buying opportunities as long as BTC (Bitcoin) holds.
$21-$22 are the areas.”
Looking at his chart, the trader uses Fibonacci retracement levels to pick a possible dip towards the $21 range.
Solana is trading at $23.42 at the time of writing, up 2.8% in the last 24 hours.
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Generated image: Midjourney