Bitwise Joins VanEck and Grayscale in Race to Launch Avalanche (AVAX) ETF
Asset administration agency Bitwise has filed an S-1 registration assertion with the US Securities and Exchange Commission (SEC) to launch an exchange-traded fund (ETF) monitoring AVAX, the native token of the Avalanche blockchain.
The proposed ETF goals to present direct publicity to AVAX by holding the cryptocurrency itself, avoiding derivatives and simplifying investor entry.
Bitwise Seeks SEC Nod For Its AVAX ETF
According to the submitting, the ETF’s net asset value (NAV) can be decided by referencing the CME CF Avalanche–Dollar Reference Rate – New York Variant. Coinbase Custody Trust Company, LLC will function the custodian.
Nonetheless, the particular trade the place the shares can be listed and the ticker image haven’t but been disclosed.
“The Sponsor believes that the design of the Trust will allow sure buyers to extra successfully and effectively implement strategic and tactical asset allocation methods that use Avalanche by investing in the Shares reasonably than buying, holding, and buying and selling Avalanche instantly,” the S-1 reads.
This submitting constitutes an essential improvement in the development of institutional adoption of AVAX. It follows comparable functions submitted by VanEck in March and by Grayscale in August, every in search of approval for his or her Avalanche ETFs.
What Risks Is AVAX Facing After a 30% Rally in September?
Meanwhile, Bitwise’s transfer comes as AVAX is undergoing a bullish rally together with the broader market. BeInCrypto Markets information confirmed that the altcoin’s value has appreciated almost 30% this month.
Recently, BeInCrypto also reported that AVAX crossed the $30 mark for the primary time since February 2025. At the time of writing, the coin traded at $30.09, up 1.7% over the previous day.
Besides the worth, the community can be seeing strong user adoption. According to Token Terminal data, day by day energetic addresses have risen steadily over the previous month.
Despite the expansion, the chance of a correction stays. An analyst famous that AVAX’s Futures Volume Bubble Map signifies indicators of ‘heating up.’ There has been a speedy enhance in leveraged positions, marked by crimson indicators on the chart. This sort of overheating has traditionally preceded short-term corrections.
“That’s as a result of even a small pullback can set off liquidations and speed up draw back stress,” Burakkesmeci wrote.
Nonetheless, the analyst added that this doesn’t essentially level to an imminent crash, as AVAX’s broader upward development stays intact. Still, the info serves as a warning signal that short-term volatility might emerge.
Furthermore, future predictions stay fairly bullish. In an X submit, an analyst highlighted that AVAX has damaged out of a several-month-long vary and an ascending triangle.
An ascending triangle sample is a bullish chart formation, with a breakout above resistance, particularly on robust quantity, signaling additional upward momentum. According to the analyst, AVAX might rise as high as $54 subsequent, a degree final seen in December 2024.
Other market watchers corroborate this view.
“AVAX Easily one of many prime cash to be shopping for proper now. Ready to run shortly we should always see a $50 Avalanche,” one other analyst posted.
Thus, whereas short-term dangers from leveraged futures buying and selling stay, the broader outlook for AVAX seems constructive, supported by bullish technical indicators and increasing ecosystem exercise. If momentum continues, institutional merchandise just like the proposed ETFs might speed up AVAX’s path towards mainstream recognition.
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