Avalanche Nears $12 as Tokenized Treasuries Surpass $545M

Avalanche (AVAX) crypto saw a notable recovery on Tuesday, climbing 3.6% to near $11.53. This puts AVAX within reach of the $12 mark, a level buyers have found challenging to surpass. The rally coincides with strong growth in tokenized U.S. Treasuries on the Avalanche blockchain, though the token still faces resistance before targeting $13.

Tokenized Treasuries on Avalanche surged to $545 million as of October 6, a 14% increase during the third quarter and four times the amount recorded a year earlier. This growth was highlighted in a report by real-world asset data platform RWA.xyz. Tokenized Treasuries allow investors to access U.S. government debt through blockchain-based products, marking a significant shift toward traditional financial assets on the Avalanche network.

AVAX has advanced nearly 60% from its low around $7.23, breaking above critical average price levels. The current struggle lies between $11.70 and $12, with AVAX failing to close confidently above this area in previous attempts. A successful break above $12 could signal a push toward $13, while a rejection might trigger profit-taking or sideways movement. Key support levels to watch are $10.40 and $10.50, with further drops potentially revisiting the $10 price level.

For now, AVAX remains in a favorable position, with a rising trend and increasing network adoption. The critical question is whether buyers can sustain momentum to turn $12 into a support level. Ending the day above $12 would enhance the likelihood of a move to $13, while dropping below $10.40 could lead to a deeper correction.