Avalanche, Noted by Grayscale…Will the Uptrend Continue?

▲ Avalanche (AVAX)/ChatGPT generated image ©

Avalanche (AVAX) recorded a stronger uptrend than major cryptocurrencies, driven by Grayscale's positive evaluation and a market rebound. However, the possibility of short-term profit-taking was also raised, as geopolitical risks in the Middle East and US interest rate uncertainties remain variables.

According to crypto media Watcher.Guru on July 9 (local time), AVAX rose by 5.6% over 24 hours and 2.7% over the past 14 days, based on CoinGecko, showing stronger performance than major cryptocurrencies like Bitcoin (BTC), Ethereum (ETH), and XRP. The media analyzed that this surge was influenced not only by the overall market rebound but also by Grayscale's recent positive introduction of Avalanche via social media platform X.

Grayscale highlighted Avalanche's high customizable scalability as a key strength, emphasizing it as a project with an infrastructure that can be widely utilized across gaming, finance, and institutional investment sectors. Furthermore, Avalanche recorded 625 validators among decentralized projects, ranking second only to TON Network.

Real-world use cases also supported investor sentiment. The media explained that the reliability of the project increased as Hyundai Card's stablecoin remittance system, part of the Hyundai Motor Group, successfully completed Tether (USDT) testing on the Avalanche network.

However, the analysis stated that AVAX is facing strong resistance around the $7 mark. It has attempted to break through this price level multiple times but has been blocked by selling pressure. The media predicted that if Bitcoin continues its historical strong performance in July this year, the overall cryptocurrency market could see an uptrend, and AVAX is also likely to benefit. However, the Middle East war, rising US inflation, and the possibility of additional interest rate hikes by the Federal Reserve (Fed) remain burden factors, and there is a possibility of short-term profit-taking after the recent surge.

*Disclaimer: This article is for investment reference only and is not responsible for investment losses based on it. The content should be interpreted for informational purposes only.*