Is AVAX on the Uptrend? 🤔 🔎
The fact that the price of Bitcoin increased by 10 percent on a weekly basis from $57,800 to $64,000 led to the appreciation of large altcoins. Avalanche (AVAX) has gained over 30 percent in the last 7 days as one of the leaders in this increase. This bullish led AVAX to cross a critical resistance level that has been going on for five months, signaling a significant trend transformation.
Franklin Templeton's Avalanche Move Pushes Price Up
Global investment firm Franklin Templeton integrated the Franklin OnChain U.S. Government Monetary Fund (FOBXX) into the Avalanche network on August 22. This move expanded the fund's reach, causing AVAX's price to rise. FOBXX stands out as the first U.S. registered mutual fund to use public Blockchain for transaction processing and stock registration.
Integration into the Avalanche network aims to increase the accessibility of the fund and increase the number of corporate participants using Avalanche technology. This development, which came after Grayscale's Avalanche Trust Fund announcement, carried the price of AVAX above the psychological level of $25.
In terms of technical analysis, AVAX's price has shown a high-momentum recovery with 9 consecutive green candles on the daily chart since mid-August. This moved AVAX from $19.78 to $27.7, a 40 percent growth. Its market capitalization reached $11.4 billion.
The price of AVAX in the recent period has signaled a significant reversal, breaking a key resistance line in the downtrend that has been going on since March 2024. This breakout has the potential for an additional 20 percent increase, with the price of AVAX pushing the $33 resistance. With this threshold crossed, the next target level will be $41.82. DYOR
