Avalanche (AVAX) Plummets to $9, Eyes $8.35 Support Next

Avalanche (AVAX) fell to $9.06 on February 9, 2026, down 2.18% over the past 24 hours, with trading volume dropping 50% to $201.15 million, according to CoinMarketCap data. Over the past week, AVAX has declined 8.74%, highlighting sustained bearish sentiment among traders.

AVAX Price Downtrend Remains Intact

In X post, Crypto analyst Umair Crypto said the downtrend remains intact. “The previous support bounce was shallow, and a retracement toward the 0.618–0.66 Fibonacci level was contingent on the RSI reclaiming its trendline, which did not happen,” he noted.

Chart analysis shows a sequence of lower highs and lower lows over several months, with temporary support forming around $8.20–$8.50. 

Short-term resistance is expected between $10 and $11, aligning with Fibonacci retracement levels. The Relative Strength Index (RSI) remains below its prior trendline, indicating persistent bearish momentum despite oversold conditions.

Volume metrics suggest a capitulation during AVAX’s recent decline, often a precursor to brief corrective bounces. Analysts expect a possible short-term rally toward $10.45–$12.45 before the token resumes downward pressure, potentially testing support near $8.35.

“The 20% bounce observed appears corrective rather than structural,” Umair Crypto added. Without consolidation at lower support levels, upward attempts may remain unreliable. Traders are closely monitoring RSI stabilization and volume trends to gauge recovery potential.

VanEck Launches Avalanche ETF (VAVX) on Nasdaq

A major development for AVAX investors is the debut of the VanEck Avalanche ETF (VAVX) on Nasdaq, which launched on January 26, 2026. The ETF provides direct exposure to AVAX while offering staking rewards, with a gross staking yield of 4.86% as of February 2, 2026.

Kyle DaCruz, Director of Digital Assets Product at VanEck, emphasized Avalanche’s potential to bridge traditional finance and on-chain applications. VanEck waived sponsor fees on the initial $500 million AUM until February 28, 2026, signaling institutional support. Initial trading reported $3.13 million in net assets.

Analysts suggest the ETF could boost AVAX’s legitimacy, stimulate institutional interest, and improve market liquidity. The ETF operates under SEC Rule 6c-11, offering regulatory compliance while expanding digital asset access to U.S. investors.

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