Choosing the right crypto pair for swapping is not enough for profitable long-term trading. The exchange platform plays an even more significant role because of the trading rates it offers. Also, professional traders want to cooperate with reliable swapping websites to avoid hidden fees and other unpleasant surprises. If you want to know where you can exchange ETH to AVAX with the best rates, read on.
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What Is Avalanche?
Avalanche (AVAX) was launched in September 2020 as a token built on its own blockchain. Shortly after, it started to gain popularity, mainly due to high transaction speed — around 4,500 transactions per second. That is why AVAX is known as one of the biggest rivals of ETH.
Avalanche is considered one of the cheapest to use due to its low transaction cost. AVAX uses the Proof-of-Stake (PoS) consensus mechanism that among other advantages is also more eco-friendly than Ethereum’s current Proof-of-Work (PoW) consensus.
Potential of Avalanche Coin
As of April 2022, AVAX is among the 10 most popular cryptocurrencies according to CoinMarketCap. Market capitalization is estimated at around $20billion. Avalanche hit its all-time high ($146 per coin) on November 21, 2021. In mid-April 2022, it cost around $80 per coin.
According to the algorithm-based forecasts by PricePrediction, The Economic Times, CryptoPredictions, and other platforms, AVAX will continue to grow. All of them agree that by the end of 2022 Avalanche’s price will fluctuate around $100 per coin or over.
What Else Is There to Know About Ethereum?
Ethereum was introduced by Vitalik Buterin in 2013. ETH quickly became the second biggest and most popular cryptocurrency on the market after Bitcoin. Just like AVAX, ETH is a decentralized open-source blockchain with its own coin. However, Ethereum uses the PoW consensus mechanism and is known as a pioneer of the smart contract concept.
Also, Ethereum’s blockchain can host other tokens. Such popular crypto as Tether (USDT), Wrapped Bitcoin (WBTC), and Shiba Inu (SHIB) operate on top of the Ethereum blockchain. Some traders are complaining about the high transaction fees, which make ETH too expensive to use. Historically, transaction costs have reached over $70 but recently have been hovering around $2.
Ethereum Perspectives
In mid-April 2022 Ethereum’s market capitalization was around $350-400 billion. The price fluctuated near $3,000 per coin. It hit the all-time high in November 2021, when one ETH coin cost $4,891.
There is a switch to the Ethereum 2.0 version in the project’s roadmap. It means the transition to the PoS consensus method and a new scaling solution called sharding. The transition will be completed in 2022. Experts agree that Ethereum 2.0 will positively impact the blockchain and the coin.
The algorithm-based forecasts by Nasdaq, PricePrediction, Crowd Wisdom, and other platforms predict that ETH can mark itself above $4,000 by the end of 2022.
How to Find Best Rates and Convert ETH to AVAX
There are no universally accepted exchange rates for every swapping pair or platform, so they can seriously differ. So can KYС rules and other hidden conditions. That is why professional traders seek anonymous places with the best exchange rates and the lowest commissions. But what factors influence the swapping rates? Here are a few of them:
- Lack of centralized control
Since there is no centralized body that can regulate pricing. It is not tied to other assets and the final offers including price and fee always depend on the market algorithm.
- Liquidity factor
The final offer can fluctuate depending on the crypto platform you work with. Popular ones have a high trading volume, which affects both price and commissions.
- The size of the fee
Every swapping platform earns money by adding its fee to the final exchange offer. As a rule, such fees are small (near 0.05%), but it differs from platform to platform and from pair to pair. Always pay attention to the final offer before making any exchanges.
In terms of convenience and safety, your best bet would be buying crypto online at a decentralized anonymous exchange like Godex.
Is Swapping ETH to AVAX a Good Decision?
Ethereum and Avalanche are quite similar. Both cryptocurrencies use smart contracts. At the same time, AVAX is considered more eco-friendly due to its PoS consensus mechanism, while the current version of ETH still uses PoW.
ETH is more popular and has a higher market capitalization but experiences problems with scalability and high transaction costs. Hence, swapping your ETH to AVAX might be a good decision for both traders and investors — especially if you do the swapping on popular anonymous platforms with low fees.