The native token of Avalon Labs, AVL, climbed roughly 20% over 24 hours as traders reacted to news of an 80 million token burn.
The venture-backed Bitcoin on-chain capital markets platform announced the 80 million AVL burn on June 9, 2025.
In response, the token’s price jumped about 20%, reaching an intraday peak of $0.23.
That move coincided with a broader market rebound as Bitcoin recovered from recent lows near $101,000 last week.
With AVL trading near a key level, can optimism push the bulls even higher?
Avalon Labs reports burning 44% of circulating supply
Following a high-profile investment from YZi Labs, Avalon Labs took another step to strengthen its native token.
The Bitcoin-backed DeFi project announced on June 9, 2025 that it had burned 80 million AVL tokens.
According to the Avalon Labs team, the burned tokens mostly came from the unclaimed portion of the airdrop conducted in March 2024.
At that time, AVL worth more than $20 million had been distributed to community wallets; now 80 million tokens have been permanently removed from circulation.
The burned tokens represent roughly 44% of Avalon’s circulating supply.
Avalon Labs has officially burned 80M $AVL, representing 44% of the circulating supply.
These unclaimed airdrop tokens, worth approximately $16 million, have now been permanently removed from circulation. Over the past year, a total of $20M worth of $AVL has been claimed by… pic.twitter.com/GXMWKpmbNF
— Avalon Labs 🎩🔮 (@avalonfinance_) June 9, 2025
The token burn produced a notable upward move in the AVL market, with bulls retesting levels seen in early May.
These gains followed another rally after YZi Labs announced its strategic investment in the project.
Buying pressure also increased earlier in the year after Binance Alpha listed AVL.
Could AVL reach $1?
Price action for AVL is signaling bullish momentum, with the token trading near $0.20 at the time of writing.
Recently, Avalon’s price broke out of an ascending triangle pattern and extended gains following a sharp pullback.
Buyers are attempting to build on momentum, and a successful breakout could push the price toward $0.23.
In mid-May, Avalon rejected bullish attempts around $0.31, and by late May buyers had lost steam after a channel breakout, falling from about $0.27.
Those levels represent horizontal resistance zones, above which bulls could target $0.44. However, a substantial supply wall exists near $0.75.
Avalon price chart from TradingView
If selling pressure returns amid profit-taking and altcoin weakness, a revisit of $0.18 and $0.13 is possible.
Technically, the Relative Strength Index (RSI) and the Moving Average Convergence Divergence (MACD) are showing early signs of bullish divergence.
That suggests growing momentum, but traders should watch for sustained volume and price stability above the breakout level to confirm the move.