Avalanche crypto continued its recovery on Tuesday, gaining 3.6% to trade near $11.53. That left AVAX within touching distance of $12, a level buyers have struggled to climb over.
The climb came as the report shows a strong growth in tokenized U.S. Treasuries using avalanche blockchain. However, AVAX still needs to breach the price ceiling before considering the $13 price level as a near-term target.
Tokenized Treasuries on Avalanche quadruple
In a 6 October post, Avalanche said there were some $545 million in tokenized U.S. Treasuries on its network.
That represented a 14% increase during the third quarter and was four times the amount recorded one year earlier. The figures were attributed to real-world asset data platform RWA.xyz.
Put simply, tokenized Treasuries allow investors to gain exposure to U.S. government debt through blockchain-based products.
The rise meant that Avalanche has more traditional financial assets being issued on it or in some way representational on it.
Can AVAX finally clear $12?
From its low around the $7.23 price level, AVAX has advanced almost 60%. Through its rally, it has climbed above critical average price levels eyed by traders, signaling that the buyers have wrestled control from sellers on broader trend.
The initial struggle looks like it could be between the $11.70 and $12 price levels.
AVAX has now tried this area several times without producing a confident daily close above the area. Another rejection could keep it moving sideways or trigger some profit-taking.
However, if AVAX were to break above the $12 mark, then this could well change the scenario, and buyers might try to hold AVAX above the breakout level and push for the $13 mark.
However, $10.40 and $10.50 are the first key areas to look at. Prices here are closer to AVAX’s average price, meaning that buyers may emerge on this pullback.
Should it lose that support, it is likely to revisit the $10 price level again. In case of further fall to the $9.15 price area, the rally might weaken.
For now, AVAX remains in a favorable position. The trend is rising, network adoption is showing progress, and buyers are pressing against resistance. The unanswered question is whether they have enough steam to turn the $12 price level into support.
Final Summary
AVAX needs to end the day trading above $12 to increase the possibility of a move up to $13.
Dropping under $10.40 would leave it open to a deeper correction.
