After months of fading interest and a steady slide in price, Avalanche (AVAX) might be getting a second chance -and it’s coming from a surprising direction. Nasdaq has officially filed with the SEC to list a spot Avalanche ETF proposed by Grayscale. If approved, it would be the first regulated product of its kind for AVAX, giving institutional and traditional investors easy access to the token without needing to actually hold or manage it.
This comes as many other altcoins such as Solana, XRP, Litecoin, Dogecoin and Cardano are getting their own filings. Grayscale clearly believes AVAX should be no different. And while the filing doesn’t mean approval is guaranteed, it signals growing confidence that Avalanche still matters in the long-term crypto investment space.
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The Market Isn’t Convinced
The market, worried about the consequences of the escalating trade war, hasn’t celebrated this news. AVAX is still trading near its recent lows, hovering around $19. Over the past three months, the token has lost nearly half of its value. Year-on-year, it’s down more than 60%.
Some of this is broader sentiment. The recent escalation in global trade tensions has rattled markets across the board. Stocks fell, crypto followed, and gold soared to an all-time high as investors rushed to safety. But AVAX’s weakness goes beyond macro trends.
Compared to Bitcoin, it has clearly underperformed. Even some other major altcoins that are also struggling – like Ethereum and Solana – have held up better.
Read also: Ethereum Price Analysis: Will It Hold Above $2000?
Grayscale’s Bet on the Future
Grayscale isn’t trying to pump the price next week. The proposed AVAX ETF would convert an existing trust product into a fully regulated fund, bringing it in line with Grayscale’s broader suite of crypto investment vehicles. It’s a long-term play aimed at investors who want exposure to Avalanche’s tech and potential – but without the usual complications of using a crypto wallet or DeFi platforms.
They’re betting that Avalanche’s real value will show over time. That as institutional access grows, demand will follow. And that AVAX, with its high-speed transaction capabilities and growing infrastructure, still has a place in the future of decentralized finance and tokenized real-world assets.
What’s Next?
AVAX is still stuck in a downtrend. Short-term sentiment is weak. Trading activity is falling. And unless the price manages to stay above $20, there’s not much technical strength to build on.
But the ETF filing shows that while retail interest may have cooled, big players are still watching Avalanche. They’re still interested. And in a market that often moves from narrative to narrative, that might be all it takes to spark something new.
Avax is also included in a Hashdex ETF filing. We described their filing here.
