- Avalanche jumped to around $29.82 on Thursday, riding positive news for a roughly 10% rally.
- This follows the Avalanche Foundation’s plans to create a $1 billion AVAX treasury strategy.
- AVAX is also among several cryptocurrencies mentioned as potential inclusions in expected crypto ETFs.
Avalanche’s native token, AVAX, climbed nearly 10% after reports of a large financial initiative by the Avalanche Foundation.
On Thursday, AVAX rose to highs near $29.82, while daily trading volume increased by more than 73%.
The rally followed news that the Avalanche Foundation is preparing to raise approximately $1 billion to establish an AVAX treasury reserve.
Avalanche price gains as Foundation moves toward $1 billion AVAX treasury
The Avalanche Foundation, the nonprofit that supports the Avalanche blockchain, is reportedly in advanced talks to form two U.S.-based digital asset finance entities intended to accumulate AVAX tokens.
According to the Financial Times, sources familiar with the matter say these efforts are expected to raise about $1 billion.
Deals aimed at achieving this goal are said to be nearing completion and could finalize in the coming weeks.
The new entities would use the capital to purchase millions of AVAX tokens at discounted rates directly from the foundation.
One arrangement, led by Hivemind Capital, aims to secure up to $500 million through a private investment in a Nasdaq-listed company, guided by crypto investor Anthony Scaramucci.
The second plan would convert an existing company into a similar financial vehicle, also targeting roughly $500 million.
The proposal for a $1 billion AVAX treasury comes as Avalanche experiences strong growth across stablecoins and real-world asset (RWA) tokenization.
For example, Avalanche’s stablecoin market capitalization rose about 58% this quarter to more than $2.2 billion, while RWA activity climbed nearly 90% over the last month.
AVAX’s price reacted to the news by pushing above $29, opening a potential path for continued upside for bulls.
What are the price prospects for AVAX?
The recent price jump highlights renewed investor interest in Avalanche, especially as it competes with other smart-contract platforms such as Ethereum and Solana, whose tokens have benefited from similar treasury and tokenization trends.
On-chain data show that crypto treasury vehicles have raised more than $16 billion in 2025 to bolster their reserve strategies.
As appetite for these types of investments grows, tokens like AVAX could stand to benefit. Tokenization of assets is another major driver of demand.
AVAX is also among the crypto tokens submitted for ETF consideration with the SEC. Market conditions and these treasury-related developments could help stabilize Avalanche’s price and support further gains alongside broader crypto markets.
Given current dynamics, AVAX could face sustained upward pressure and potentially test the $40–$45 range.
However, market sentiment and regulatory developments will play a key role. Those factors could determine whether AVAX can maintain its gains or encounter resistance amid broader cryptocurrency volatility.