Avalanche (AVAX) has shown significant upward momentum in the past 12 hours, with its price hovering around $29.33, reflecting a 5.5% increase in the last 24 hours and a 50% rise since early September(Cointelegraph)(Benzinga).
Key Developments:
- Avalanche9000 Upgrade: A major catalyst for AVAX’s recent rally is the upcoming Avalanche9000 upgrade, which is expected to enhance scalability, improve cost-efficiency, and attract more developers to the platform. This has sparked renewed interest in the network, with an anticipated surge in user activity(Cointelegraph).
- $40 Million Grant Program: The Avalanche Foundation recently announced a $40 million grant to incentivize developers building on the Avalanche network, further boosting network activity. This initiative, along with the network upgrade, has positioned Avalanche to attract more institutional and developer interest(Cointelegraph).
- Total Value Locked (TVL) Recovery: Avalanche’s TVL has soared past $1 billion, marking a 43.5% increase from its September lows. This growth in TVL is a positive indicator of increasing user interaction within the DeFi ecosystem, which could fuel further demand for AVAX(AMBCrypto).
Technical Analysis:
From a technical standpoint, AVAX is holding strong above the $28 support level, with resistance observed near $30. If AVAX manages to break past this level, analysts predict a potential rally toward the $40 mark. However, sell pressure could mount as short-term traders (cruisers) may start taking profits, making this a crucial level to watch(AMBCrypto).
Outlook:
With bullish developments such as the Avalanche9000 upgrade, growing developer incentives, and an impressive TVL recovery, AVAX is positioned for potential further growth. However, traders should keep an eye on key resistance levels and the behavior of short-term holders as the network navigates this period of heightened activity.
