Avalanche AVAX/USD could deliver the strongest gains

Avalanche AVAX/USD could deliver the strongest gains among major digital assets in the coming years

According to Geoffrey Kendrick, Head of Digital Assets Research at Standard Chartered, Avalanche (CRYPTO: AVAX) could be poised for the strongest gains among major digital assets in the coming years.

What Happened: In a research note, Kendrick anticipates a tenfold surge in AVAX by the end of 2029, outperforming both Bitcoin (CRYPTO: BTC) and Ethereum (CRYPTO: ETH) in relative price growth.

"We see AVAX increasing 10x by end-2029, outpacing both BTC and ETH gains, with BTC +3x and ETH +5x from here," Kendrick stated, highlighting the impact of improved scalability following the recent Etna upgrade on Avalanche.

The price target outlined in the bank's forecast places AVAX at approximately $250 by the close of 2029, compared to its current level near $20.

Kendrick's bullish view stems from the architectural shift in Avalanche after the December 2024 Etna upgrade, which eliminated the cost barrier to launching subnets—customizable, application-specific sidechains that scale the network.

"The cost of establishing a subnet was slashed to close to zero with the removal of the AVAX staking requirement, previously valued between $225,000-$450,000," Kendrick noted.

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Why It Matters: The report highlights strong early signals for Avalanche's growth.

A quarter of all subnets are now Etna-compatible, and developer activity is increasing, particularly from teams migrating over from Ethereum Layer-2 solutions.

Avalanche's EVM compatibility facilitates this transition, enabling builders to transfer tooling and code with minimal friction.

"We think the current development momentum is likely to continue, supporting activity growth on Avalanche and driving AVAX price gains," Kendrick stated.

While the note acknowledges AVAX's high volatility—three-month volatility is close to 100%, nearly double that of Bitcoin—Kendrick believes its smaller market capitalization means incremental network improvements can have a larger-than-usual impact on price performance.

Standard Chartered's optimistic price targets forecast AVAX steadily climbing year over year, hitting $55 in 2025 and doubling annually to reach $250 in 2029.

That trajectory implies increasing investor confidence in Avalanche's unique scaling strategy and potential leadership among Ethereum-compatible (EVM) blockchains.

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