Home Cryptocurrency AVAX Surges 16% in a Week, Resistance Breakout Confirmed

AVAX Surges 16% in a Week, Resistance Breakout Confirmed

TL;DR

  • AVAX breaks above the $27 resistance, now consolidating as support with near-term targets beyond $30.
  • Analyst forecasts show a potential 70–75% breakout move, projecting Avalanche rally toward the $40–$42 range.
  • Avalanche Foundation plans $1B treasury firms as institutional adoption and on-chain activity continue rising.

Breakout Above Key Resistance

Avalanche (AVAX) has pushed above a major resistance zone, lifting its price to almost $29 after a strong week of gains. Daily trading volume stands at $1.79 billion, with the token advancing 8% in the past 24 hours and 16% over the last seven days.

According to Alpha Crypto Signal,

The group added that a confirmed 4-hour green close above this zone would bring the token back on their radar for potential long trades. They also noted that extended consolidation around the breakout point would strengthen the setup.

In fact, the resistance zone between $25 and $27 has rejected AVAX multiple times this year. With the price now holding above it, the level is expected to act as support, while near-term targets extend into the $30+ range.

Technical Structure Points Higher

AVAX has been forming higher lows since June, creating pressure against the resistance band. The breakout occurred on strong volume, showing active participation from buyers.

Analyst World Of Charts wrote that AVAX is “building up for a massive breakout, expecting 70–75% move after breakout.” Their chart projects a potential rally toward $40–$42, which would mark levels not reached since early 2025.

AVAX price chart
Source: World Of Charts/X

Notably, the pattern resembles an ascending triangle, a structure that often precedes bullish continuation. Traders note that the longer the price stabilizes above $27, the higher the chance for momentum to carry into the next leg up.

On-chain usage continues to support market interest. As we previously reported, Avalanche’s C-Chain recorded 35.8 million transactions in August, the second-highest monthly count in its history. One week during that month processed 10.9 million transactions, the busiest period since December 2023.

This steady demand reflects continued adoption of Avalanche’s infrastructure across decentralized applications, lending confidence to traders and developers monitoring the breakout.

Treasury Plans and Institutional Testing

The Avalanche Foundation is in advanced talks to set up two cryptocurrency treasury companies in the United States, according to the Financial Times. One is expected to be a new entity, while the other involves converting an existing company into a treasury vehicle.

Meanwhile, the Foundation is aiming for the $1-billion mark as funding generated by these ventures, with the closing of deals expected any week. Simultaneously, investment houses like BlackRock, Apollo, and Wellington Asset Management use the network of Avalanche to try out fund tokenization.

Such a scenario, along with the breakout confirmed, keeps technical traders and long-term institutional watchers fixated on Avalanche, considering its role in blockchain markets.

The post AVAX Surges 16% in a Week, Resistance Breakout Confirmed appeared first on CryptoPotato.

Leave a comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Related Articles

The End of Paper Bitcoin Summer

Bitcoin Magazine The End of Paper Bitcoin Summer As summer now turns...

Figure stock pops after IPO, but Klarna, Circle, Bullish crash call for caution

Figure stock price surged by over 44% after its initial public offering,...

Gemini IPO demand forces $425m hard cap after 20x oversubscription

Gemini’s Nasdaq debut drew so many orders that the exchange reportedly capped...

BlackRock weighs ETF tokenization as JPMorgan flags industry shift: Report

BlackRock is reportedly exploring tokenized ETFs after Bitcoin fund success, as Wall...