AVAX stablecoin supply soared 48%, analysts 'price targets pointed above $10

Avalanche chain activity surges, AVAX gets bullish from analysts

Avalanche native token AVAX has recently regained attention due to the significant increase in chain activity and improved technical signals, so some market analysts have a more positive attitude towards this asset.

The supply of stablecoins is rising simultaneously with institutional participation

Well-known cryptocurrency analyst Michaël van de Poppe observed that AVAX may soon escape the current price range. He attributed this expectation to strong growth in the Avalanche ecosystem and favorable technical trends.

Van de Poppe posted on the X platform that the supply of stablecoins on Avalanche increased by 48% in a week. Meanwhile, BlackRock's BUIDL fund-an institution-grade tokenized asset running on a blockchain platform-more than doubled in size on the Avalanche network over the same period. He sees this growth as evidence of the accelerated adoption of blockchain and the increased momentum of the ecosystem.

"The continued expansion of activity on AVAX is a strong signal of increased adoption rates and ecological growth," van de Poppe said, emphasizing that the surge in stablecoins liquidity suggests that capital efficiency is improving for decentralized applications and traders involved in lending, trading and on-chain operations.

The rise in stablecoin balances generally reflects increased liquidity and active capital within the blockchain, allowing users and protocols to more flexibly support transactions and investments without creating friction.

(Note: BlackRock BUIDL Fund is a tokenized money market fund launched by global asset manager BlackRock. It provides blockchain users with exposure to U.S. Treasury bonds and cash equivalents through tokenization, aiming to promote wider institutional adoption of blockchain infrastructure.)

The following is a comparison of key indicators:

Indicators| last week's data| this week's data| Range of change

Stabilizing coin supply (AVAX)| reference value| 48% higher| +48%

BUIDL funds on Avalanche| reference value| 100%+ higher| +100%

Technical Analysis and Key Price Levels

In addition to ecological indicators, van de Poppe also pointed out several favorable technical forms of AVAX. According to his analysis, the token has recently formed a bullish divergence on the daily chart and built a higher low point-a common support signal in technical analysis.

Based on these patterns, van de Poppe outlines a potential scenario: AVAX is expected to test higher resistance levels if current support holds. He pointed out: "What is the target price this time? I will focus on $10 and above." He emphasized that the prerequisite for achieving this goal is that the token can remain above the current support range.

For investors, real-time on-chain data (such as the expansion of stablecoin supply and institutional product growth) can provide a more nuanced perspective than mere price fluctuations, highlighting deep trends in adoption rates and liquidity.

Avalanche has positioned itself as a leading platform in asset tokenization and decentralized finance, aiming to attract retail and institutional users seeking efficient, scalable blockchain solutions.

Investor Enlightenment and Market Outlook

Analysts believe that continued growth in stablecoin liquidity, rising total locked positions (TVL), and institutional adoption (such as the expansion of BUIDL funds) have strengthened the fundamentals of the network.

The core concern of market participants is whether AVAX can hold on to its higher low support and successfully break through recent resistance. A breakthrough will confirm bullish technical signals; failure to hold support may delay the rise to a higher target price.

Monitoring stablecoin inflows, institutional asset growth and overall network usage is crucial to assessing the sustainability of recent positive price movements. Continued growth in these areas is expected to provide AVAX with stronger momentum in the broader cryptocurrency market.