Avalanche’s DeFi ecosystem has crossed a key milestone, with total value locked (TVL) surpassing $2 billion for the first time since early 2022. The surge reflects renewed investor interest amid network upgrades and increasing inflows tied to real-world asset (RWA) tokenization.
Furthermore, on-chain data shows that the daily wallet activity and transaction volume on the Avalanche network are also rising. This suggests the platform’s broader recovery in the DeFi market. AVAX, the native token, is seeing renewed demand, though analysts note that market sentiment remains cautiously optimistic rather than overheated.
Traders are closely monitoring upcoming ETF and regulatory developments, as well as a significant token unlock event scheduled for August. Both these events could add short-term volatility to AVAX price action.
Avalanche Daily Trasactions on the Rise
Crypto research firm Messari has recently reported that during the second quarter this year, the Avalanche blockchain witnessed a notable uptick in network activity. Average daily transactions across the Avalanche C-Chain and other Layer-1 networks surged 169.91% quarter-over-quarter, climbing to 10.1 million from 3.7 million.
The uptick in network activity was also reflected in transaction fees. Total transactions rose from 58,300 to 75,170, representing a 29% increase over the previous quarter.

Daily active addresses on Avalanche jumped 210.45% in Q2 2025, reaching 519,954, indicating a significant increase in user activity across the network. Despite the surge in engagement, average transaction fees on the Avalanche C-Chain declined 42.7%, falling from $0.05 to $0.03.
The decline is largely attributed to the recent Octane upgrade, which introduced a dynamic fee mechanism. It adjusts fees in real time to enhance cost-efficiency and improve the overall user experience.
AVAX Price Eyes Rally to $126
AVAX, the native cryptocurrency of the Avalanche blockchain, has seen a strong upside, gaining nearly 40% in the last month and is currently flirting around $25. Market analysts continue to remain optimistic that the price rally to continue, with some even predicting 5x gains from here.
Crypto analyst Javon Marks has highlighted continued bullish momentum for Avalanche (AVAX), which is currently up nearly 200% since its breakout. According to Marks, the altcoin is tracking toward a price target of $126.03.

If the projected move plays out, AVAX could climb another 375% from current levels, marking a potential 5x return from here. The analyst noted that the breakout structure remains intact, keeping the bullish target in play.
Avalanche (AVAX) is currently trading within a $23–$27 range, with short-term momentum indicators showing weakness as the MACD remains bearish. However, oversold CRSI levels and a doubling in trading volume suggest the potential for a reversal, provided AVAX can break above and hold $27 as support.

