Avalanche is starting to turn heads again—not just for its price action, but for what’s happening under the hood. The AVAX network is experiencing a sharp rise in user activity, with monthly active wallets shooting up more than 400% since May. That puts the total number of active wallets past

• Avalanche (AVAX) rose nearly 8% in 24 hours, hitting a high of $20.90.
• Avalanche’s monthly active wallets have surged over 400% since May, exceeding 2.2 million users.

Avalanche is starting to turn heads again—not just for its price action, but for what’s happening under the hood. The AVAX network is experiencing a sharp rise in user activity, with monthly active wallets shooting up more than 400% since May. That puts the total number of active wallets past 2.2 million, according to updates from the Avalanche team. Simply put, the network is buzzing with activity even if the market hasn’t fully priced that in just yet.

In the last 24 hours, AVAX’s price saw a solid jump of nearly 8%, reaching as high as $20.90 before settling slightly lower at $20.80. Its market cap now stands at around $8.8 billion. However, daily trading volume has seen a drop of over 35%, currently sitting at $306 million. This could indicate that the price is moving up, possibly waiting for stronger confirmation before making big moves.

One of the key reasons behind this growing interest is Avalanche’s improving DeFi ecosystem. Liquidity on the chain is increasing, and that’s always a strong incentive for users to stay and interact more. As more users get involved and activity picks up, this often creates a ripple effect—more transactions, more apps being used, and ultimately, more money flowing in. If this momentum continues, it may not be long before the price starts to reflect these fundamental gains.

AVAX Begins Bullish Reversal, Eyes Key Resistance at $23

Looking at the short-term technical setup, AVAX is showing signs of a possible recovery. In just the past four hours, the token climbed 1.21%, trading around $20.90. The 4-hour chart paints a promising picture, as the price recently bounced from a solid support level near $19.16. That zone also matches up with the 1.618 Fibonacci extension—a spot many traders look at for trend changes.

Momentum indicators are giving early green signals. The Relative Strength Index (RSI) has risen to 58.16, showing bullish strength but still leaving room for more upside before hitting overbought territory. At the same time, AVAX’s MACD has flipped positive, supported by growing green bars on the histogram, pointing to increasing bullish pressure.

Another indicator that’s flashing positive is the BBPT, which measures price pressure and is now tilted in favor of buyers. However, the Chaikin Money Flow (CMF) is still slightly negative at -0.11, hinting that while capital outflows are slowing, money hasn’t fully started pouring in just yet.

Looking ahead, AVAX faces a few resistance levels that could act as roadblocks. The immediate hurdles lie at $21.75 and $22.65, aligning with key Fibonacci retracement zones. A stronger resistance sits at $23.35. If the price manages to break through these levels with decent volume, it could set the stage for a medium-term uptrend.

For now, Avalanche appears to be in a build-up phase. The on-chain growth is clear, and the price is starting to respond. While caution is still warranted—especially with volume on the lower side—there’s no denying that Avalanche is heating up.