I think Luna is more better than Avax and very High potential like Terra Luna because they have their own Stable coin UST which is backed by Luna and most of Etherium Whales also holding UST which show that the future of Luna is bright. They are also constantly buying BTC in every Dip and I think thelis project can go big in Future.
What you say may be true, but Avax is also not in a bad condition so anyone who has more capital will also not be wrong if they want to buy Avax even though they are still inferior when compared to Luna because Luna already has advantages as you said.
Luna is currently under development which is better than Avax but these two coins are very competitive in volume which can be seen on the CMC list.
but for the future, no one knows what will happen, everything is still possible, and I personally have more or believe in the better Avax coin in the future.
however, if it has the potential to be like Ethereum, I think the two are still very far away, there are still many other coins that have more potential than Luna and Avax.