Avalanche price had a mixed performance in September, despite major developments within its ecosystem. AVAX jumped from $23 on September 1 and jumped to a high of $36, and then pulled back to $30. This article highlights some of the top reasons why the Avalanche crypto price may rebound soon.
Avalanche Network and Ecosystem Growth
One reason why the Avalanche price may rebound soon is that its network is growing at a significant rate. Data compiled by Nansen shows that the network’s transactions jumped by 178% in the last 30 days to 49.75 million.
Similarly, the number of active addresses jumped by 29% to 734,035 in the same period. All this growth translated to higher fees, which jumped by 102% to $1.43 million. While Avalanche is not the biggest chain in the crypto space, these numbers make it one of the fastest-growing ones.
READ MORE: Orderly Price Structure Signals 80% Surge as Perps Tokens Soar
Avalanche’s ecosystem had robust growth in September. For example, Anthony Scaramucci’s SkyBridge Capital announced that it would launch a $300 million tokenized fund on the network.
Similarly, the developers inked a deal with Mirae Asset, a company with over $316 million in AUM. Mirae is committed to launching a tokenized fund on the blockchain. Balcony is also working to tokenize real estate on Avalanche.
The other major development is that HiveMind raised $550 million to accumulate AVAX tokens. Similarly, Avalanche is working on a $1 billion fund to acquire AVAX and create a treasury, a move that will create more demand.
This ecosystem growth will likely continue in October as companies take advantage of the Avalanche network. At the same time, the Securities and Exchange Commission (SEC) is expected to approve several AVAX ETFs in October, which is expected to lead to increased demand from American investors.
Avalanche Price Technical Analysis
The daily chart indicates that the AVAX price peaked at $36 in September and subsequently declined to $30 as of today.
Its lowest level on September 26 was notable, as it represented the highest swing in May, when most cryptocurrencies surged. It was also the neckline of the double-bottom pattern at $15.62.
Avalanche price remains above the 50-day and 100-day Exponential Moving Averages (EMA). It has also moved to the handle section of the cup-and-handle pattern.
Therefore, the coin will likely rebound in October as bulls target the key resistance level at $50. A drop below the support at $28 will invalidate the bullish AVAX price forecast.
READ MORE: XRP Price Elliot Wave Points to a Surge Ahead of ETF Approval
