Why is Avalanche price down 9.8% today?

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Avalanche slides 9.84% today to $7.48

Highlights

AVAX One refocused exclusively on building an Avalanche treasury, holding 14.17 million AVAX with nearly all staked at a 5.85% annualized yield.
Q3 2026 net income reached $49.9 million, aided by $1.8 million from staking, with convertible debt eliminated and a major share buyback completed.
AVAX/USD remains under pronounced downside pressure below key moving averages, with price seen consolidating near $6.86 to $8.17 and a high likelihood of further declines.

Aggressive AVAX accumulation and buybacks overshadowed by continued price pressure

AVAX One Technology Ltd., the first publicly listed company dedicated to building an Avalanche treasury, discontinued its data center and AI operations to focus exclusively on acquiring, holding, and staking AVAX tokens. As of September 30, 2026, the company held about 14.17 million AVAX, with nearly all actively staked at an annualized yield of 5.85%. AVAX One reported $49.9 million in net income for Q3 2026, including $1.8 million from staking rewards, eliminated its convertible debt, and executed a sizable treasury share buyback. The company also participated in upcoming Avalanche-based initiatives such as the NYSE's planned tokenized-securities platform, though price action has remained under broader selling pressure.

Anton Kharitonov, expert at Traders Union, identifies ongoing technical weakness in Avalanche. He notes that AVAX remains pinned below all key moving averages and under clear selling pressure. Kharitonov highlights the disconnect between the company's strong financials and the negative market response. He points out that elevated daily volatility and lack of strong bullish momentum add to downside risk. Persistent bearish structure and lack of conviction from buyers reinforce his cautious stance. "Despite encouraging treasury developments, the technical setup for AVAX still signals more pain ahead for holders," Kharitonov says.

Viktoras Karapetjanc, expert at Traders Union, sees long-term opportunity in Avalanche despite short-term pressure. He emphasizes AVAX One Technology Ltd.'s decisive pivot and profitable Q3 results as validation of institutional confidence. Karapetjanc notes that large-scale staking and elimination of company debt improve fundamentals. He believes market structure remains bullish over extended timeframes, especially as more institutions join Avalanche initiatives. "With treasury growth and strategic buybacks, the market offers multiple bullish setups once price stabilizes above $8.17," Karapetjanc says.

Sholanke Dele, market strategist, remains wary as broader sentiment stays weak for AVAX. He notes that news of corporate realignment and Avalanche ecosystem projects has failed to spark lasting demand. Dele points to high volatility and the elevated chance of further downside below $6.86. He cautions that rallies are likely to be sold unless broader risk appetite improves. "Until sustained buying pressure returns, I expect further selling and continued investor caution," Dele warns.

Sustained bearish momentum as key supports strain under technicals

AVAX/USD continues to trade below the 20-, 50-, and 200-day moving averages ($8.53, $9.63, and $8.1 respectively), highlighting persistent downside momentum across all timeframes. Sellers dominate the market, with a near-term resistance ceiling at $7.62 and support at $6.86, while the otherwise bullish long-term 50-day versus 200-day alignment now faces heavy strain. The MACD signals strong downside momentum and the Average Directional Index (ADX) remains neutral, reflecting weak trend strength. The RSI, Stochastic RSI, and Commodity Channel Index (CCI) are all neutral, indicating the absence of extremes on these oscillators. Bull/Bear Power (BBP) is positive, reflecting some intraday buyer activity, but the overall tone remains bearish as price trades near session lows and daily volatility is elevated at 8.53%.

Earlier, analysts noted that Avalanche remained under persistent selling pressure despite strategic treasury moves and new institutional partnerships, with technical conditions favoring a cautious outlook. The current article reinforces this view with fresh downside momentum amid elevated volatility, highlighting $6.86 as a key level to watch for potential further declines.

Source of Data: AVAX Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

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