Avalanche: Undervalued?

[Raytheon]

The problem isn't about how scalable and fast it is, we all know avalanche is fast but other blockchain like solana is fast too that average joe don't really notice the difference.
On top of that here's brief comparison of the defillama data between 3 chains : ethereum, solana, and avalanche.

It's obvious that avalanche is falling behind with chain rev of $8000 in 24h compared to other and it's falling behind on other things too such as dex volume and so on.

Well, Solana is not as decentralized as Avalanche. Sure it's fast and cheap to use, but it's nothing but an utterly-centralized Blockchain network. Same as Binance Chain. Avalanche proves to be a viable alternative to Ethereum as it focuses on decentralization with a unique approach to scalability. It might even perform better than chains with "horizontal scaling" (APTOS and SUI). Who knows?

I haven't seen real world tests of Avalanche's TPS, but I bet it will outmatch its competitors. The 3-tier approach to scalability is genius because it divides the network into different layers without compromising on decentralization and censorship-resistance. AVAX is undervalued, imho. We'll see what happens in the long run.

From a technological perspective, Avalanche is a solid Layer 1. I couldn't fine any reliable source but data from https://chainspect.app/dashboard shows that "horizontal scaling" on APTOS and SUI gives much better performance than parallel execution on Avalanche.

Economically, Avalanche has struggled to establish a sustainable ecosystem despite pivoting across DeFi, gaming, and RWA. In contrast, Solana has successfully built a strong economy, with the help of meme. IMO, AVAX isn't undervalued. With Vitalik recently reaffirmed the role of Layer 2s in scaling Ethereum, Avalanche risks falling even further behind many other strong Layer 1s and Layer 2s.

[bitgolden]

I would not say undervalued, it is not overvalued neither. In the crypto world that is the luck that we have, we are not looking at things like they are overvalued or undervalued, we look at it as whatever we value it. This means, if we think that this is what it should be worth, then this is what it should be worth and nothing more. So if people think this is what the price should be, then it is exactly what it should be. Undervalued is something that you may use for stocks and what not, not in crypto world.

[Abiky]

From a technological perspective, Avalanche is a solid Layer 1. I couldn't fine any reliable source but data from https://chainspect.app/dashboard shows that "horizontal scaling" on APTOS and SUI gives much better performance than parallel execution on Avalanche.

Economically, Avalanche has struggled to establish a sustainable ecosystem despite pivoting across DeFi, gaming, and RWA. In contrast, Solana has successfully built a strong economy, with the help of meme. IMO, AVAX isn't undervalued. With Vitalik recently reaffirmed the role of Layer 2s in scaling Ethereum, Avalanche risks falling even further behind many other strong Layer 1s and Layer 2s.

Well, Avalanche is still more decentralized than the coins you've mentioned. What about its limited supply? Doesn't that make it undervalued? When you compare it against inflated coins such as Solana, SUI, and Aptos, you'll realize AVAX is much scarcer than the rest of the pack. "Millions" of AVAX that will ever exist, compared to "Billions" of Aptos and the likes.

The economic and security fundamentals of Avalanche are there. It's just that investors are following the hype. And so far, the competition excels remarkably with their marketing/promotion strategy. Only time will tell us how far will AVAX go in market price. Just my two sats.

[TastyChillySauce00]

Honestly, I believe that if a Blockchain has a huge Transactions per second rate and yet there is no enough volume to use all of it, then those TPS are being wasted. It is similar to what happens to Bitcoin Cash, it can handle much more transactions than Bitcoin in a shorter period of time, but it does not have the volume of Bitcoin, so it's speed for processing transactions is wasted and nobody cares about it at all.

The strength of Ethereum is how it evolves and adapts to the needs of the market and investors, not allowing Ethereum-killers to gain steam in the long term.

Yes, and TPS is just marketing gimmick at the early phase of seed funding to attract capital. Ethereum gives solution to a problem which is scalability through second layer implementation which resulted in lower fee, something that people has been waiting, but most of the new L1 blockchain just talk about high TPS as if their blockchain gonna be as populated as ethereum  .

In reality few months after issuing their token, most of their transaction are botted by themselves to inflate the active addresses statistic and 24h daily transaction. Though, avalanche is definitely in better place than most blockchains  .