{"id":25914,"date":"2026-01-20T16:30:00","date_gmt":"2026-01-20T16:30:00","guid":{"rendered":"https:\/\/investx.fr\/en\/?p=25914"},"modified":"2026-01-20T14:32:35","modified_gmt":"2026-01-20T14:32:35","slug":"avalanche-avax-price-analysis","status":"publish","type":"post","link":"https:\/\/investx.fr\/en\/crypto-news\/avalanche-avax-price-analysis\/","title":{"rendered":"Why Avalanche (AVAX) could plunge to $5: Price analysis"},"content":{"rendered":"\n

Record On-Chain Activity: The Long-Awaited Catalyst?<\/h2>\n\n\n\n

This is the kind of metric that doesn’t lie about the fundamental health of a blockchain. Avalanche<\/a><\/strong> recently recorded an all-time high of 1.71 million daily active addresses<\/strong>. This colossal figure demonstrates real and growing adoption, driven by the rise of DeFi<\/strong> (Decentralized Finance), tokenization, and real-world assets (RWA) on the network.<\/p>\n\n\n\n

Unlike speculative spikes based on nothing at all, this increase in network activity is built on tangible developments and renewed institutional confidence. For investors, this is a strong bullish<\/strong> signal: the infrastructure is being used, and demand for block space is increasing. Currently, the price of AVAX is hovering around $12.66<\/strong> (down approximately 6.9% over 24h), but this correction could merely be a retracement<\/strong> before the next bullish impulse.<\/p>\n\n\n\n

On-chain data also reveals interesting behavior from whales<\/strong>. These large holders have aggressively accumulated when the price plunged toward $11.32, creating a solid buy wall. This price defense by institutional investors suggests they view current levels as an ideal accumulation zone before a potential rally<\/strong>.<\/p>\n\n\n\n

Technical Analysis: Key Levels to Watch for AVAX<\/h2>\n\n\n\n

From a technical perspective, AVAX’s market structure offers a concerning outlook. The token is now trading below its bullish trendline on the HTF. If AVAX fails to reclaim $13.2, it risks a crash toward the next demand zone around $5.<\/p>\n\n\n\n

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The key to the next move lies in AVAX’s ability to break through its immediate resistance. Here are the crucial technical levels to monitor in the coming days:<\/p>\n\n\n\n