In Infinity War fanfiction, Loki can be alive. Fanfic authors have the creative liberty to rewrite the events. They might bring Loki back to life using magic or some other means. For example, Loki could have faked his death and gone into hiding, only to reappear later in the story to help the heroes fight against Thanos. His survival can add an interesting twist to the story and create new interactions between characters.
If Loki survived in Infinity War fanfiction, it could have led to a very different outcome. He might have used his trickery to deceive Thanos in some way. Maybe he could have pretended to be on Thanos' side while actually working against him. This would have added an extra layer of intrigue to the story as the other characters would have been unsure of his true motives.
One way to 'fix' the situation in a fanfiction could be to have Loki's faked death in Thor: The Dark World be more thoroughly investigated by Thor. If Thor had been more suspicious and dug deeper, he might have uncovered Loki's real plan earlier. This could have led to them working together more effectively against Thanos in Infinity War, preventing some of the tragedies that occurred.
If Loki survived Infinity War, it might have opened up new storylines and character developments. He could have played a crucial role in finding a way to reverse the damage or caused more chaos.
One great Loki post Infinity War fanfiction could be 'Loki's Redemption'. In this story, Loki, having survived in some unexpected way, tries to make amends for his past wrongs. He starts by helping the remaining Asgardians rebuild. Another one might be 'Loki and the New Order' where he teams up with some unlikely allies in the post - Infinity War chaos to restore balance in the universe. And there's also 'Loki's Hidden Power', which focuses on Loki discovering a new, latent power within himself that could potentially change the fate of the post - Infinity War world.
Loki's development in Infinity War fanfiction can also involve his relationships. For instance, he could form an unexpected bond with the Guardians of the Galaxy. His charm and trickery could play off their more rough - and - tumble personalities in interesting ways, leading to a change in his character as he learns from them and they from him.