Avalanche (AVAX) rallies 8.5% on FIFA's adoption of the chain's network

Avalanche (AVAX/USD) rallied sharply, and jumped 8.5% to $25.00 after trading near the low $20s. The token had been around $22

Avalanche (AVAX) price rose sharply on Wednesday, hitting a four-week high of $25.1. The token had been trading in the low $20s for a while, but a partnership with the International Federation of Association Football (FIFA) to launch a Layer-1 blockchain on Avalanche’s network.

Avalanche price technical analysis: A pivot at $22, resistance at $24

Avalanche price bounced from the pivot at $22 and is now trading above the resistance at $24. The next resistance level is at $30, which could be reached if the current uptrend continues.

The Relative Strength Index (RSI) is in the overbought territory, but there is still room for further gains. The Moving Average Convergence Divergence (MACD) is also in the bullish zone.

Overall, the technical indicators suggest that the short-term trend is still bullish. However, if the price falls below the pivot at $22, it could trigger a pullback.

Avalanche recently launched the Avalanche9000 upgrade, which reduced costs by approximately 90%. Avalanche stated that FIFA's selection "represents a pivotal moment in the evolution of blockchain infrastructure," highlighting the network's credibility.

The high-profile FIFA partnership showcases Avalanche's appeal for sports and enterprise blockchains.

Earlier this month, over 2 million wallets interacted with Avalanche. Out of these, around 80% were new users, highlighting a strong influx of fresh participants.

According to IntoTheBlock, large AVAX holders, known as whales, are increasing net inflows by about 380%. This ongoing accumulation could help AVAX break through the next resistance at $24 and pave the way for a move toward $30. A decline below the support zone of $22 could trigger a pullback.

In other developments, VanEck launched a tokenized U.S. Treasury fund ("VBILL") on Avalanche and is raising a $250 million PurposeBuilt fund for Avalanche projects. In the U.S., NASDAQ is planning to list a Grayscale spot Avalanche ETF. If approved, these products would provide regulated exposure to AVAX and could attract substantial capital.

Bitcoin price recently rose toward $111,500, pulling altcoins along with it. The rally is being attributed to the massive ETF inflows and the easing macroeconomic pressures. Sentiment indicators are showing "extreme greed" levels, which may warrant some caution.

If projects like FIFA's blockchain and new GameFi titles gain traction, they could drive further adoption of crypto.

Investors are targeting $30 as the next major price target if the current bullish momentum persists. On the downside, the key support level is at $22, while the Fib R retracement levels in the mid-$20s could provide resistance.

Avalanche's new "Fusion" framework, a $100 million builder program, is designed to encourage the development of projects and modules that can be integrated into the core chain.

As the project progresses, investors will be monitoring if the advances in price translate into increased real-world usage and integration of the Avalanche ecosystem.