• Avalanche (AVAX) price broke above $43 on Monday as Bitcoin’s rally to $100,000 lifted altcoin markets. 
  • AVAX whale wallets recorded positive net inflows for 21 trading days since December 15, making acquisitions worth $600 million. 
  • The RSI technical indicator shows AVAX is approaching market saturation, as the latest price surge coincides with declining trading volumes. 

AVAX price breached the $40 resistance on Monday, driven by the crypto market's positive start to 2025. While on-chain data shows rising demand from large investors on the Avalanche network, technical indicators flash cautionary signals.  

AVAX price surges 25% as Bitcoin rally enters day 6

AVAX has emerged as one of the standout performers amid the crypto markets’s ongoing bullish start to 2025.

Against the backdrop of positive speculations on United States (US) President-elect Donald Trump’s inauguration and dovish macroeconomic tweaks, the Avalanche’ teams recent $250 million fundraising has also attracted investor attention. 

Consequently, AVAX price action has mirrored BTC in the past week, delivering more than threefold gains. 

Avalanche Price Action vs. Bitcoin (BTC) 

The chart above shows the AVAX price climbed 27.8% since the start of 2025, tracking Bitcoin’s 8% gains between December 31 and January 6. 

This shows that while Ethereum’s rally has been subdued below the $3,700 mark, investors have increasingly leaned towards rival layer-1 coins.

This has seen the likes of AVAX and Cardano (ADA) above the $40 and $1 levels respectively on Monday. 

With AVAX price having breached the $45 resistanceon Monday, bulls could potentially set sights on another leg-up towards $50. 

AVAX whales spotted moving $600M in 21-day buying streak

When a mega-cap asset like AVAX  closely aligns with Bitcoin’s price, as observed in the past week, it signals strong positive sentiment among existing investors.

On-chain data trends reveal that whale wallets have been acquiring large amounts of AVAX coins since mid-December after the Avalanche team announced a $250 million fundraise for network updates.  

Confirming this narrative, IntoTheBlock’s Large Holder Netflow chart tracks the daily changes in balances of whale wallets holding at least 0.1% of total AVAX supply in circulation. 

Avalanche Large Holders’ Netflow | Source: IntoTheBlock 

The chart above shows that AVAX whales have recorded positive netflow in the last 21 trading days between December 16 and January 5.

During that period, the whale wallets acquired 14.6 million AVAX worth approximately $595.6 million. 

Market reports suggest the whales entered a buying spree in reaction to the Avalanche team’s announcement of a $250 million fundraise on December 12, defying the year-end market downturn.

Evidently, the persistent buying pressure from Avalanche whales has been pivotal to AVAX price tracking the BTC rally as market sentiment recovered at the turn of the year. 

Avalanche Price Forecast: $50 sell-wall calls for caution 

Backed by strong whale demand, Avalanche price extended its year-to-date gains to 28%, breaking past the $45 resistance on Monday.

However, after five consecutive green candles, technical indicators on the AVAX/USD daily chart suggest caution as the broader crypto market rally nears potential exhaustion.

Despite the bullish momentum, AVAX trading volumes on Binance have declined over the past three days.

This divergence between rising prices and falling volume often signals weakening buyer enthusiasm, indicating the market could be approaching a local top.

Adding to this, the RSI is approaching the 60 level, a zone where previous rallies have stalled, further hinting at potential reversal risks ahead.

AVAX Price Forecsast | AVAXUSD

The Keltner Channel upper band at $47 marks the next major resistance level.

Failure to attract higher volumes and liquidity could result in AVAX facing rejection from $47, triggering a pullback toward the midline Keltner level at $41.

Conversely, a daily close above $47 would invalidate the cautious outlook, potentially paving the way for a breakout above $50.


Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Recommended content


Recommended Content

Editors’ Picks

BNB price enters 7-day winning streak as Binance liquidates over $5.9 billion from BTC, ETH and SOL holdings

BNB price enters 7-day winning streak as Binance liquidates over $5.9 billion from BTC, ETH and SOL holdings

Binance Coin (BNB) price surged past $650 on Wednesday, marking a 15% increase over seven consecutive days of profit. Market reports suggest that recent trades executed by Binance’s parent company could drive further BNB price gains.

More Binance News
Dogecoin stabilizes at $0.25 as PEPE, TRUMP near double-digit losses

Dogecoin stabilizes at $0.25 as PEPE, TRUMP near double-digit losses

Dogecoin (DOGE) price holds firmly above the $0.25 level on Wednesday, while on-chain data links DOGE’s resilient performance to institutional interest and long-term investors’ reluctance to sell the token amid Exchange Traded Funds (ETFs) speculations.

More Dogecoin News
Trump’s tariffs shake crypto market, Bitcoin’s future uncertain

Trump’s tariffs shake crypto market, Bitcoin’s future uncertain

Donald Trump’s new tariffs have caused turbulence in the crypto market, leading to a sharp drop in total value and billions in liquidations. While uncertainty remains, some analysts believe these trade policies could create long-term opportunities for Bitcoin.

More Cryptocurrencies News
Solana Price Forecast: SOL gains ETF boost amid $3 billion unlock fears

Solana Price Forecast: SOL gains ETF boost amid $3 billion unlock fears

Solana is down 1% on Tuesday following negative sentiment surrounding its upcoming $3 billion token unlock. Meanwhile, Franklin Templeton is likely entering the race for a Solana exchange-traded fund following its filing for a Solana Trust in Delaware.

More Solana News
Bitcoin: BTC shows weakness, bears aiming for $90,000 mark

Bitcoin: BTC shows weakness, bears aiming for $90,000 mark

Bitcoin price hovers around $97,000 on Friday after losing nearly 5% in the last three days. CryptoQuant weekly report shows that activity on the Bitcoin network has declined to its lowest level in a year.

Read full analysis
The Best Brokers of the Year

The Best Brokers of the Year

SPONSORED Explore top-quality choices worldwide and locally. Compare key features like spreads, leverage, and platforms. Find the right broker for your needs, whether trading CFDs, Forex pairs like EUR/USD, or commodities like Gold.

Read More

BTC

ETH

XRP