Can Avalanche [AVAX] Bring Big Profits? What You Need to Know About

As historical trends suggest, Avalanche could potentially trade above $100 in the long term. This expected rally could be fueled by the upcoming final release of AVAX vesting cards, which will take place on August 20. Avalanche (19459033) is still recovering after a market-wide crash that took its price to $17.29, a low last seen in November 2023.

AVAX’s price is now $21.07 and its market cap has risen to $8.2 billion. AVAX’s trading volume has also increased by 30%, indicating a willingness to rally.

Kaleo, a crypto analyst highlighted that the strengthening of ETH/BTC is a precursor to Layer-1 (L1) EVNs like Avalanche gaining momentum and setting the stage for a rally.

The change in the ratio indicates that there is market interest and momentum, which could make Ethereum and Ethereum-compatible platforms like Avalanche more attractive to investors.

The final release, which signals the maturity and stability of Avalanche’s distribution strategy, is considered a bullish indicator.
This can boost investor confidence and stabilize the token price by preventing sudden supply increases.

AskFX analyzed Avalanche’s open interest and OI-weighted funding

A predominantly negative OI funding rate indicates a bearish sentiment. This means that shorts are paying fees to long position holders and expect the asset’s value to fall.

Open interest has seen significant increase in recent days since AVAX hit its 2024 low on August 5.

As of press time, open interest had increased by 8.14% or $202.11 million.

An increase in open interest is an indication of new money flowing into the markets and increasing participation. This can lead to higher liquidity & potential price increases.