While the crypto market begins a new phase of pullback, Avalanche surprises. The AVAX token jumped 10 % this Tuesday, reaching 33 dollars, at the very moment when major capitalizations showed losses. The crypto thus stands out by an opposite dynamic, built and supported by significant players.
The recent surge of AVAX finds its origin in a series of financing initiatives orchestrated by the Avalanche Foundation. Early September, it launched a 1 billion dollar fundraising plan, via two US-based entities, intended to acquire several million AVAX tokens at preferential prices from its own reserves.
The plan took on a new dimension Monday with the renaming of AgriFORCE Growing Systems to Avax One, which announced a $550 million fundraising to create a treasury exclusively dedicated to AVAX. The operation, structured as a PIPE (Private Investment in Public Equity), is backed by Hivemind Capital and advised by Anthony Scaramucci.
Here are the various aspects of this strategy :
These two entities, independent but complementary, aim to create sustainable pressure on the market while strengthening AVAX liquidity. By attracting massive institutional capital, Avalanche seeks to stabilize its token in a volatile macroeconomic environment.
This move reflects a long-term vision for the project, at a time when markets are still hesitant about the direction to take.
Beyond financing announcements, the internal dynamic of the Avalanche network seems to play a key role in the renewed confidence around AVAX. According to on-chain data, the Octane update deployed in April reduced fees on the C-Chain by 98 %, leading to an explosion of network activity.
Daily transactions jumped to 1.4 million in the second quarter, a 493 % increase from the previous quarter. Meanwhile, the number of active addresses rose by 57 %, reaching 46,397 users. These metrics reflect organic growth in activity, especially in the DeFi sector.
The economic fundamentals of Avalanche also strengthen this trajectory. Indeed, total value locked (TVL) rose from 1 to 2.23 billion dollars since April, notably driven by protocols like Aave (515 M$ TVL), while the market capitalization of stablecoins on the network jumped 81 % in 30 days. These figures show the AVAX ecosystem’s rise, independently from market cycles, and suggest growing adoption by end users.
Finally, technical analysis complements this picture. The crypto displays a classic bullish reversal pattern on its daily chart. The AVAX price thus rose 17 % since the 29 dollars reached Monday, with a trading volume up by more than 100 % in 24 hours, signaling a strong return of interest. This setup opens the way to two bullish targets: a first level at 55 dollars, then a theoretical target at 212 dollars if the pattern is fully validated.
