Avalanche monthly new users have shot up substantially in the first quarter of 2025 as VanEck registers the “VanEck Avalanche ETF” in Delaware.
By Parth Dubey
Updated
3 mins read
VanEck, a major investment management firm based in New York, is considering the launch of an Avalanche AVAX $19.28 24h volatility: 8.1% Market cap: $8.01 B Vol. 24h: $349.67 M exchange-traded fund in the United States.
On March 10, the firm registered the “VanEck Avalanche ETF” in Delaware, signaling a potential future filing for a spot AVAX ETF.
This could drive a significant price shift for AVAX as regulated investment products make it more accessible to investors.
Public records from the Delaware state website reveal that VanEck’s latest crypto investment product falls under the same trust corporate service framework used for Bitcoin, Ethereum, and Solana ETFs.
VanEck’s move suggests that Avalanche is emerging as a strong candidate for institutional interest, alongside the other leading crypto assets.
While a formal spot filing with the SEC has not yet been made, the registration in Delaware is typically a precursor to such applications.
If approved, a spot AVAX ETF could increase liquidity, boost investor confidence, and potentially drive significant capital inflows into AVAX, similar to how Bitcoin ETFs have affected BTC’s price action with billions in inflows since inception.
Despite a sharp decline in AVAX’s price over the past year, on-chain activity paints a different picture. Crypto analyst Miles Deutscher pointed out a significant uptick in new users on the Avalanche network in Q1 2025.
“Monthly new users on Avalanche have surged higher in the first quarter of this year,” Deutscher said while sharing a chart showcasing a rising trend in new user adoption.
The chart reveals multiple peaks, indicating growing interest and potential increased demand for AVAX. Historically, network adoption precedes price appreciation, meaning this user growth could be an early sign of a turnaround in AVAX prices.
The active users peaked at 1.4 million in January, according to TokenTerminal data, but have since then fallen to 705.7K. However, the broader trend remains optimistic for the first quarter of 2025.
Avalanche has plunged 6.89% in the past 24 hours, currently trading at $17.41. Over the past year, AVAX has lost 62.85% of its value and is now trading 88.14% below its all-time high of $146.22.
The daily chart provided by TradingView below reads a value of 34.60, indicating that AVAX is approaching oversold conditions. If the RSI drops further, it could suggest a buying opportunity for investors.
AVAX’ price action is near the lower BB band at $16.61, hinting at a potential bounce to the 20-day exponential moving average (EMA), which stands at $21.30, if this level holds.
Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
A crypto journalist with over 5 years of experience in the industry, Parth has worked with major media outlets in the crypto and finance world, gathering experience and expertise in the space after surviving bear and bull markets over the years. Parth is also an author of 4 self-published books.