Binance Coin vs Avalanche: What Should an Investor Choose?

Investment Strategies from Cryptocurrency Guru

The positions of both cryptos are pretty steady in 2022. BNB is still the fourth biggest altcoin, taking 5th place among all coins by market capitalization. At the same time, Avalanche doesn’t want to leave the top 20 cryptos and is actively evolving to finally “kill” Ethereum. As of late 2022, AVAX takes 20th place in the crypto ranking.

So should you make a Binance coin to Avalanche exchange this year?

BNB: Pros and Cons

Binance would never be able to remain the #1 CEX if their native coin BNB didn’t perform well. And that’s unsurprising since the team equipped it with the following features:

  • Utility. The primary use of any exchange token is lowering trading fees for all coin holders. Today you can not only pay commissions with BNB or simply invest in it, but also participate in BNB Vault and Lauchpools/Launchpads.
  • Unique burndown policy. In order to keep the coin deflationary, Binance introduced a breakthrough burndown policy. This helps prevent price drops and maintains the stability of the BNB rate.
  • Low fees and fast transactions. Transferring BNB inside BEP20 is extremely fast (up to 5 minutes) and cheap (about 10 cents per transaction).

However, BNB isn’t ideal. Here is what we noticed:

  • Potential regulation. Many experts are sure that the token will become the subject of rules from the China regulatory bodies. This in turn, can affect the coin’s price.
  • Direct connection with the exchange’s performance. If Binance goes down, the BNB chart won’t remain at its current high position.
  • Volatility. It’s always hard to predict the performance of the exchange token. 

Do the pros outweigh the cons? Let’s consider prediction algorithms.

BNB Price Prediction

Two of the best forecast platforms, and, have no doubts that BNB will compete for ETH’s place as the king of altcoins. Ethereum has trouble with gas fees and TPS, while Binance has eliminated its primary opponent FTX. If Binance performs well, the path to the new ATH for BNB is wide open.

That’s why $1,000 per coin in 2025 seems realistic.

Benefits and Disadvantages Investing in AVAX

Now, we’ll offer a fresh look at the benefits of the main “Ethereum killer”:

  • It is an L1 blockchain. Avalanche has perfect tools to create customizable public and private blockchains.
  • Existing ecosystem. This has made it an all-in-one hub for secure, powerful, and reliable decentralized applications. 
  • Extremely fast. The network can process up to 4,500 transactions per second.
  • Eco-friendly and up-to-date Proof-of-Stake consensus mechanism.

Despite all this, Avalanche has some downsides:

  • No punishment for the malicious activity of validators. 
  • There may be delays in transactions if the validators are not in agreement.

Does this negative side make AVAX a bad investment tool? Predictions state the opposite.

Avalanche Price Prediction is bullish on this coin since it can compete with the top 10 cryptos. So the forecast website predicts the following rates for the next three years:

  • 2023 – $19.60;
  • 2024 – $28.55;
  • 2025 – $42.19.

Simultaneously, thinks AVAX can perform even better, peaking at $103.59 in 2025 and reaching new and new ATHs year by year. The platform suggests Avalanche’s native token can hit $599.42 in 2030.

Given the current AVAX rate, why not purchase several tokens right now?

BNB vs AVAX: Time to Choose

Comparing BNB vs AVAX is almost like choosing between HBAR vs IOTA. Both blockchains have won their place among the crypto industry’s best technologies. Each has its pros and cons, proving that the work behind their products is yet to be finished.

And while it’s hard to say which one will perform better, it is known for sure that no one will blame you for having at least one of these assets in your portfolio.

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