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Avalanche's AVAX Surges 16% Weekly, Outperforms Top 10 Ecosystems

Coin WorldSunday, Apr 13, 2025 11:34 pm ET

1min read

Avalanche's native token, AVAX, has experienced a notable 16% weekly gain, positioning it as the fastest-growing ecosystem among the top 10. This surge is particularly impressive given the continued decline in Total Value Locked (TVL) across the broader market, which has dropped from over $1.5 billion to around $1.1 billion since the start of 2025. The recent price action suggests a shift in investor sentiment, with many anticipating a potential breakout.

Avalanche has outperformed its layer-1 and layer-2 counterparts, achieving a 14.4% increase in DeFi TVL over the past month. This growth is the highest among the top 10 ecosystems, with Ethereum, Arbitrum, and Base experiencing monthly declines, and Solana and BSC seeing modest gains. Avalanche's DeFi TVL now stands at $1.63 billion, supported by over 430 protocols. This growth reflects heightened developer activity and renewed user interest in the network, positioning Avalanche as a standout performer in early Q2 2025.

Despite the overall decline in TVL, Avalanche’s TVL showed a notable rebound in April, climbing back above $1.2 billion after a persistent downtrend since early January. The recent uptick suggests a shift in momentum, likely driven by rising AVAX prices, user incentives, and protocol reactivations. While still below Q4 2024 levels, this bounce marks the first sign of sustained recovery and could signal a turning point.

At the time of reporting, AVAX was trading around $20, recovering from March lows near $16. Technically, the $30 level remains a key psychological and structural resistance, last tested in early February 2025 and again during multiple rejections in mid-2024. The chart indicates that AVAX is breaking out of its short-term downtrend. However, for a decisive move toward the $30 mark, bulls must clear the resistance zone between $24 and $26. If momentum holds and AVAX firmly reclaims the $26 level, a push toward $30 becomes achievable. That said, a period of short-term consolidation is likely before any potential breakout occurs.

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