Is Avalanche (AVAX) Price Laying the Foundation for Its Next Rally? Key Levels to Watch

AVAX is holding up better than much of the crypto market. Avalanche price trades around $27.27 after a run that briefly lifted it above $33 while many other coins slipped. 

A post on X(Formerly Twitter) from SeniorDeFi points to a mix of institutional buying, stronger on-chain activity, and an encouraging chart setup as signs that AVAX could be preparing for another move.

Big Money Flows Into Avalanche

The X thread explains how the Avalanche Foundation is building a treasury that could top $1 billion. 

A Nasdaq-listed fund has already set aside $550 million for AVAX, and a Dragonfly-backed fund may match that. Big financial names like VanEck and Grayscale are also getting involved through ETF filings and new products.

This steady flow of capital from deep-pocketed investors is giving the network stronger liquidity and creating a solid base for price action as trading ranges tighten.

AVAX Price and On-Chain Activity Keep Growing

Avalanche Octane upgrade has cut fees by 98%, making transactions cheaper and faster. Daily transactions hit an all-time high of 2.22 million in August and are still holding above 1.2 million. 

Active wallets rose 57% from Q2, the value locked has doubled to $2.23 billion, and stablecoin market capitalization went up 81% in a month to $2.16 billion.

This steady network growth offers validation to the bullish technical setup, showing that activity on the chain is increasing rather than decreasing.

Key Levels on the AVAX Chart

AVAX price bounced from about $30.7 on September 22 to just over $36 the next day before settling into a range between $34.0 and $35.6. 

Sellers continue to defend $36, creating a major ceiling. Short-term support stands at $34.0-$34.3, with deeper zones near $31.0-$31.3 and $30.7.

A strong hourly close above $36 could open the door toward $37-$38 and possibly the next target near $55. Falling back under $34 might push Avalanche price toward $33.2–$33.5, and then $32.2–$32.6.

Read Also: Whales Keep Loading Up on XRP, Avalanche (AVAX) and This Other Token: Here’s Why

What’s Next for AVAX

Institutional funding, rising on-chain metrics, and a rounded-bottom pattern since July’s $17 low give Avalanche a strong backdrop. 

Traders are now focused on the $36 level to see whether AVAX price can turn this setup into the next stage of its rally.

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Funbi Afe
Funbi Afe

Funbi Afe is content strategist with a strong background in technical writing, cryptocurrency, journalism, and copy editing. Passionate about simplifying complex topics, Funbi crafts clear, engaging content that informs and inspires diverse audiences. With expertise spanning blockchain technology, SEO strategy, and market analysis, Funbi is dedicated to helping brands and communities deliver impactful, polished messaging in the fast-evolving digital space.

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