- Avalanche’s price climbed to about $29.82 on Thursday, buoyed by bullish news that drove a roughly 10% gain.
- This movement coincided with the Avalanche Foundation’s plans for a $1 billion AVAX treasury strategy.
- AVAX is among several digital currencies included on lists of crypto assets expected to be considered for future ETFs.
Avalanche’s native token, AVAX, surged nearly 10% following reports that the Avalanche Foundation is moving forward with a major financial initiative.
On Thursday, AVAX peaked at $29.82 while daily trading volume jumped more than 73% as investors reacted to the news.
The rally followed reports that the Avalanche Foundation is preparing to raise $1 billion to establish AVAX reserve treasuries.
Avalanche price rises amid $1 billion AVAX treasury plans
The Avalanche Foundation, the nonprofit organization that supports the Avalanche blockchain, is in advanced talks to form two digital-asset treasury entities in the United States aimed at aggregating AVAX tokens.
According to the Financial Times, sources familiar with the matter say these initiatives are expected to raise about $1 billion in total.
The deal structures for these initiatives are reportedly nearing completion and could be finalized within weeks.
The entities would use the raised funds to purchase millions of AVAX tokens at discounted rates directly from the Foundation.
The first arrangement, led by Hivemind Capital, aims to secure up to $500 million through private investment in a Nasdaq-listed vehicle, with guidance from crypto investor Anthony Scaramucci.
The second plan involves converting an existing company into a similar treasury vehicle, also targeting $500 million.
The $1 billion AVAX treasury initiative comes as Avalanche sees significant growth in stablecoins and real-world asset (RWA) activity on its network.
For example, Avalanche’s stablecoin market capitalization rose 58% this quarter to more than $2.2 billion, while RWA activity increased by nearly 90% in the past month.
Market reaction to the news pushed AVAX above $29, opening the potential for further bullish momentum from optimistic traders.
What’s the outlook for AVAX price?
The recent price spike underscores renewed investor interest in Avalanche, particularly as it competes with other smart-contract blockchains like Ethereum and Solana—both of which have benefited from similar treasury-focused accumulation trends.
On-chain data indicate that crypto treasury vehicles raised over $16 billion in 2025 to support such financial strategies, reflecting increased demand for treasury-backed token exposure.
As demand for these investment structures grows, tokens like AVAX could see additional upside if more capital flows into treasury-driven purchases.
AVAX is also among the cryptocurrencies with ETF-related applications or discussion under review by regulators; market conditions and regulatory developments could influence whether Avalanche’s price stabilizes and continues to rise alongside other digital assets.
Given the current setup, AVAX could face continued bullish pressure and might test a range near $40–$45 if momentum persists.
However, market sentiment and regulatory developments will play a key role; these factors will determine whether AVAX can hold gains or encounter resistance amid the broader volatility of the crypto market.