- Amid the ongoing altcoin awakening, Avalanche (AVAX) price has gained about 135 percent in the past month to trade around $22.12 on Monday fueled by heightened institutional adoption of the underlying blockchain.
- In the recent past, the Avalanche blockchain has expanded to different markets including Africa, and Hong Kong with the help of traditional financial institutions including JPMorgan, Citi FX Solution, and WisdomTree.
After being trapped in a choppy falling trend since the implosion of Terra Luna UST last year, top-rated layer one (L1) blockchain, Avalanche (AVAX), with about $662 million in total value locked (TVL), has broken out in preparation for the macro crypto bull rally. Notably, AVAX has moved from trading around $8.9 on September 18 to about $22.12 during the fourth week of November.
The medium-capped altcoin with a market cap of about $7.9 billion and an average 24-hour trading volume of around $766 million is likely to continue with the bullish outlook in the coming weeks based on its positive fundamentals and technical outlook.
Moreover, Avalanche price is currently undergoing the first correction phase of a three-wave Elliott principle, according to the latest market data provided through TradingView.
Avalanche Pushes Mainstream Adoption Via Institutional Investors
The mid-sized altcoin has been pushing for its mainstream adoption through regulated and well-tested channels. In the recent past, the Avalanche network has welcomed several players in the web2 and web3 industry seeking to offer multichain products more so in real-world assets (RWA) tokenization.
For instance, LayerZero network, a well-funded developer-centric interoperability protocol, was used to connect Onyx Digital Assets, an entity developed by JPMorgan and Apollo Global, with the Avalanche Evergreen subnet, which is meant to facilitate a seamless redemption of tokenized assets offered by WisdomTree fund manager.
“This initiative under Project Guardian fundamentally aligns with Ava Labs’ mission to provide the tools and tech to digitize and tokenize the world’s assets while harnessing the speed, scalability, and customizability of Avalanche,” John Wu, President at Ava Labs, noted. “We are proud to be working with such industry leaders as they help drive forward the future of finance.”
In a different event, the Ava Lab’s AvaCloud was used by Citi to test its forex exchange platform, which is part of the project Guardian, a collaborative initiative by the Monetary Authority of Singapore (MAS) and the financial market. Similarly, the Avalanche Evergreen subnets were used by the Citi FX developers. Meanwhile, the Avalanche network has made strategic hiring including in India to ensure sustainable future growth.
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AVAX Price Analysis
As a top-rated smart contract blockchain, AVAX price is likely to follow the footsteps of Solana (SOL) in the coming weeks. Notably, SOL price has rallied more than 100 percent since it broke out of the FTX-induced macro consolidation. If AVAX follows a similar path to SOL, then the altcoin is likely to trade above $58 before the end of the year.
The AVAX bullish narrative is bolstered by the weekly 50 Moving Average (MA) that has acted as a support level for the past two weeks. Additionally, the weekly Relative Strength Index (RSI) has risen above 70 for the first time in more than two years.