Avalanche prices fell 9%, AVAX faced resistance at $11.40, and open interest surged

AVAX prices fell 9% to a halt at US$11.40 resistance, and open interest surged.

Avalanche (AVAX) prices fell to US$10.245, down 9.44% from the previous day. The token had previously hit a recent high of $11.40, but immediately encountered strong resistance. Traders responded positively to the correction, which triggered renewed market volatility as trading volume increased and derivatives activity intensified.

Test resistance after rapid gains

After trading below $8 for most of the previous weeks, AVAX broke through the $8.73 resistance level in September and quickly moved towards $11. The sharp rise attracted widespread market attention, but was rejected as it approached $11.40, leading to a recent price reversal.

Technical analysis from TradingView shows that $11.40 is the main resistance area for AVAX. If this level is exceeded, market attention may return to new local highs. However, if the sell-off persists,$8.73 is a key support level to observe. Although it is currently in the correction stage, the overall trend is still above the breakthrough point. Traders are watching these areas closely for signs of a new round of bullish or bearish momentum.

Derivatives and trading volume drive volatility

Analysis of Avalanche trading charts shows that AVAX continues to remain above the central axis of the Bollinger Band on the 20th. The upper and lower rails are at $11.309 and $5.559 respectively. The token briefly broke through the upper trajectory, reflecting rapid price expansion, and then fell back near the resistance zone.

能量潮指标（OBV）升至3.4476亿，表明在最近一次上涨期间交易活动加剧。这种参与度的增长确认了未平仓合约数量的显著上升。根据分析提供商 CoinGlass 的数据，Avalanche 衍生品的未平仓合约金额从9月21日至23日的约3亿美元增加到超过5亿美元，突显了围绕近期价格走势的投机交易不断升级。

术语解析：未平仓合约是指尚未结算的衍生品合约总数，例如期货或期权。未平仓合约的增加可能标志着市场活动增加和潜在的波动性。

随着 AVAX 接近11美元门槛，交易量也大幅激增。CoinGlass 数据显示，截至9月22日，日均交易量飙升至约25亿美元，远高于7月和8月的水平。这些高成交量为价格突破提供了确认，新交易员和现有交易员均表现出强烈的参与度。

As price volatility increased, long and short liquidations surged, with significant activity observed during AVAX's approach to $11 and subsequent pullbacks. These liquidations reflect the impact of increased risk in the perpetual contract market, where rapid price changes can trigger the forced liquidation of leveraged positions.

Huge trading volumes and higher open interest are amplifying AVAX price volatility as traders quickly adjust their risk exposure. If these conditions persist, the possibility of further fluctuations will increase.

Network activities and key observation points

During this period, the Avalanche blockchain has made progress in real-world applications. The official Avalanche blog post mentioned that a stablecoin pilot project conducted by Hyundai Card showed that payment transfers through the Avalanche network took only a fraction of the usual time, increasing the transmission speed by more than 96%. Hyundai Motor is also studying how faster payment settlement can reduce unnecessary idle liquidity in its operations.

Terminology: Hyundai Auto Card Company is a Korean financial services provider known for its credit card business and digital finance initiatives.

On the DeFiLlama dashboard, Avalanche's total lock-in value (TVL) stabilized at around $600 million after hitting $640 million. TVL, active wallet addresses and transaction numbers remain important indicators to measure the overall health and adoption trends of the network.

Looking ahead,$11.40 is the current direct resistance level, while $8.73 and $8.434 on the central axis of the Bollinger Band are key areas of support. If AVAX fails to hold on to these levels, market focus may shift to lower support areas. Conversely, a breakthrough of $11.40 could restore bullish momentum and target new highs.