Avalanche [AVAX] recently faced exchange-side selling pressure after a whale transferred tokens worth $2.4 million into Coinbase. The transfers occurred across multiple transactions over a four-hour period. Following these deposits, the whale's wallet retained over 865,400 AVAX, valued at approximately $5.73 million. Because these remaining holdings were not staked, they remained liquid and potentially available for future transfers to exchanges.
Despite the incoming supply, AVAX's price rose 6.8% over a 24-hour period to reach $6.79. Market activity also expanded significantly, with daily trading volume climbing by 129.52% to reach roughly $415 million. This surge in volume provided buyers with additional capacity to absorb the incoming supply without immediately stalling the recovery.
Binance's top traders leaned heavily toward long positions, featuring 65.82% long accounts against 34.18% short accounts. This resulted in a Long/Short Ratio of 1.93, granting bullish accounts a significant numerical advantage as AVAX moved toward its upper range boundary. However, concentrated long positioning also introduced vulnerability around the $7.00 mark, where a potential rejection could force leveraged traders to exit or struggle against additional whale-linked supply.
Derivatives data from CoinGlass showed an OI-Weighted Funding Rate of approximately 0.0100%, indicating that leveraged longs were paying shorts to maintain their positions. This positive funding rate aligned with the broader long-account dominance and accompanied the token's push toward the range ceiling, though crowded positioning carried the risk of amplified downside pressure if selling intensified near resistance.
The MACD indicator showed strengthening momentum as AVAX approached the resistance zone, with the positive histogram reading at 0.050 and the MACD line staying above its signal line at 0.016 following a defense of the $6.30 support level. A successful breakout above $7.00 could pave the way toward higher resistance levels at $8.00 and $9.00, while a rejection could keep the asset range-bound near the $6.30 support level.
