Bitwise has filed an S-1 registration with the U.S. Securities and Exchange Commission (SEC) to launch a spot Avalanche ETF, aiming to provide direct, regulated exposure to AVAX. If approved, the fund would hold Avalanche tokens directly rather than using futures or synthetic products. Coinbase Custody has been named as the proposed custodian for the fund.
While the SEC has not yet approved any AVAX ETF, Bitwise’s application appears to have triggered responses from other asset managers. Grayscale has proposed converting its Avalanche Trust into a spot ETF, and VanEck is also reportedly evaluating a similar product.
Following the ETF news, AVAX has risen over 7% today, currently trading at $30.6. This extends the gains from this month and marks a near seven-month high.
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Technical Indicators Point to Overbought Conditions
The price is currently close to the upper Bollinger Band at $31.4. The RSI(14) stands at 70, while the RSI(7) has climbed to 78 – both readings typically associated with overbought conditions.
If the price weakens, support may be found around the 23.6% Fibonacci retracement level at $27.6, with further support near the 38.2% level at $25.3. These zones should be watched for signs of potential consolidation in case of high volatility.
As with all technical indicators, outcomes depend on market conditions, liquidity, and broader sentiment. While tools like RSI and Bollinger Bands are widely used to assess trends, they do not predict price direction with certainty.
