- AVAX tested a critical symmetrical support level at $25, sparking discussions about a potential rebound.
- The Avalanche ecosystem welcomed an AI-focused Layer 1 launch by Kite AI.
At press time, Avalanche [AVAX] was testing a key triangle support at around $25 psychological level on the weekly charts.
With a surge in large transactions and increased trading activity, market participants kept a close eye on potential signs of a price rebound at this key price level.
If AVAX can hold the $25 level, there could be a strong rebound soon, considering the growing buying activity at the dip.
Source: TradingView
Meanwhile, Avalanche’s ecosystem continues to expand. Notably, the first AI-focused Layer 1 blockchain by Kite AI was launched on the 6th of February, with an aim to revolutionize decentralized AI development.
The influence of the development is evident by the AVAX’s large player activity.
AVAX’s rising interest
AVAX’s large transactions had surged significantly by 90% in the last 24 hours until press time, according to IntoTheBlock data. This increase in large transactions goes in line with the broader bullish outlook of Avalanche.
Historically, such an increase in whale activity would precede big price movements.
Source: IntoTheBlock
Another factor contributing to this trend is the spike in trading volume marked by the increase in active addresses, as market participants positioned themselves actively, awaiting a potential rally.
With these on-chain dynamics in mind, the ability of AVAX to hold onto support at $25 will be a key defining factor. Further buying pressure is likely to drive price recovery toward immediate upside targets of $30 in the short-term.
Kite AI launches within Avalanche’s ecosystem
Kite AI aims to drive innovation in decentralized artificial intelligence by leveraging AVAX’s high-speed, low-cost infrastructure and opening new use cases for both retail and institutional participants.
According to Avalanche’s tweet, this integration is set to revolutionize the way developers and institutions interact with AI-powered blockchain applications.
With technical and fundamental factors aligning, the altcoin finds itself at a critical juncture.
Read Avalanche’s [AVAX] Price Prediction 2025–2026
The combination of rising whale transactions, increased trading volume and ecosystem expansion presents a compelling case for renewed investor confidence.
If market conditions remain favorable and the triangle support level holds its grip, a resultant price rebound could be on the cards.
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