Key takeaways
- AVAX (Avalanche) is trading above $12 after a 2% gain.
- The rise followed Grayscale filing an updated sponsor disclosure for its Avalanche ETF proposal.
AVAX tops $12 as Grayscale updates Avalanche ETF filing
The cryptocurrency market has been positive over the past 24 hours, with Bitcoin and other major coins posting gains. AVAX, Avalanche’s native token, is among the top performers within the top 30, rising more than 2% in the last day.
That momentum pushed AVAX above the $12 mark and leaves room for further short-term upside. The move followed an updated sponsor disclosure from Grayscale Investments Sponsors LLC filed as part of the S-1 registration for converting the Avalanche Trust into an ETF.
Grayscale, the digital asset manager, has not yet disclosed management fees, staking policies, or other exemptions related to the proposed product. A Nasdaq listing for the ETF could increase institutional interest in AVAX.
Additionally, AVAX saw fresh capital inflows as the open interest (OI) on futures rose by 1.66% in the past 24 hours, reaching $499.87 million. That suggests traders are opening new positions, both long and short.
However, a negative funding rate of -0.0113% indicates a willingness among some traders to maintain short positions by paying a premium.
AVAX faces resistance near $13.50
The AVAX/USD 4-hour chart remains biased to the downside overall, despite the token’s 2% gain in the last day. The recent rally comes amid renewed retail demand after AVAX recovered from a pullback that retested support around $11.18.
Technical indicators have improved, pointing to growing bullish pressure. The RSI sits at 52, above the neutral 50 level, implying bulls have regained some control. MACD lines have also crossed in a bullish direction, reinforcing the upward bias.
If the rally holds and the daily candle closes above resistance at $12.78, AVAX could push toward the $13.50 zone.
Conversely, if bulls fail to sustain the momentum, AVAX may retest the $11.18 support level.