AVAX gains 6.8% as $2.4M whale deposit tests $7 rally

AVAX rose 6.8% to $6.79 as a whale deposited $2.4 million into Coinbase, testing the token's push toward $7 resistance.

The whale moved the tokens in multiple transactions over four hours, with the wallet retaining 865,400 AVAX worth $5.73 million afterward, according to on-chain data tracked by Lookonchain. The remaining holdings were unstaked, leaving them liquid and potentially available for further exchange transfers that would add to sell-side pressure.

Daily volume climbed 129.52% to about $415 million, giving buyers room to absorb the incoming supply without immediately selling the recovery. Binance's top trader accounts stood 65.82% long against 34.18% short, a Long/Short Ratio of 1.93, while the OI-weighted funding rate held positive at 0.0100%, per Coinglass. The positive funding means leveraged longs are paying shorts to hold their positions, aligning speculative demand with the long-account dominance.

A breakout above $7.00 would open a path toward $8.00, where the next significant resistance sits, with $9.00 in focus beyond that. A rejection, however, could keep AVAX range-bound and draw attention back to the established $6.30 support, where the token has defended its floor twice this month.

Whale supply meets crowded longs

The whale deposit adds sell-side pressure at a moment when leveraged positioning is heavily one-sided. Concentrated long exposure introduces vulnerability: a rejection near $7.00 could force leveraged traders to exit, adding to downside against the fresh exchange supply. The wallet's remaining 865,400 AVAX, worth $5.73 million, remains unstaked and liquid, meaning further deposits could arrive if the token extends its gains. That dynamic raises the bar for demand near the range ceiling.

MACD backs the $7 breakout case

The MACD strengthened during the final swing toward resistance, with the histogram positive at 0.050 and the MACD line above its signal at 0.016. That technical improvement, combined with rising volume and positive funding, gives buyers the better near-term hand despite the whale-linked supply. The funding rate had fluctuated between positive and negative territory in prior sessions, but the latest positive reading accompanied AVAX's renewed push toward the range ceiling. A confirmed close above $7.00 would strengthen the bullish case toward $8.00.

The outcome hinges on whether demand near $7.00 can absorb the whale's remaining liquid holdings. If buyers hold the range ceiling, AVAX's recovery extends; if not, the token risks retesting $6.30 with leveraged longs exposed to a sharp unwind. The broader crypto market's gains today provided the tailwind, but AVAX's path now depends on its own supply dynamics at resistance, with the funding rate's prior swings showing how quickly positioning can shift if the level fails to hold.

This article is for informational purposes only and does not constitute investment advice.