Key Points
- AVAX has risen by less than 1% and trades below $12.
- VanEck has launched the first Avalanche ETF in the United States.
Launch of VanEck’s AVAX ETF
The first exchange-traded fund (ETF) tracking Avalanche’s native token, AVAX, which includes staking rewards, has been launched on NASDAQ.
VanEck’s Avalanche ETF made its debut on Monday, trading under the ticker symbol VAVX. According to the investment management firm, VAVX is the first and currently the only exchange-traded product (ETP) listed in the U.S. that provides investors with exposure to both the price performance and potential staking rewards of Avalanche’s native token, AVAX.
Avalanche is a leading blockchain in the cryptocurrency sector, launched by Ava Labs in 2020. Its primary goals are to enhance scalability, interoperability, and the usability of existing cryptocurrencies.
As a smart contract blockchain, Avalanche can automatically execute contracts when specific conditions are met.
Kyle DaCruz, the Director of Digital Assets at VanEck, emphasized Avalanche’s unique position as a blockchain that can bridge traditional finance and blockchain technology.
“Avalanche’s architecture is ideally positioned to bridge the gap between traditional finance and on-chain economy, focusing on verifiable and real utility,” DaCruz added.
AVAX Struggles to Rally
The AVAX/USD 4-hour chart remains bearish, with AVAX failing to rebound despite the launch of the VAVX ETF. At the time of publication, AVAX is trading at $11.75.
Momentum indicators remain bearish, suggesting that sellers are still in control. The RSI is at 40, below the neutral 50 mark, while MACD lines below the neutral region add further bearish confluence to the pair.
If the downward trend continues, AVAX could retest Sunday’s low of $11.24 in the coming hours or days. Prolonged bearish performance could push AVAX below the psychological level of $10.
However, if the market rebounds, AVAX may reach the first major resistance level at $12.50 in the short term.
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