AVAX price is pushing higher after breaking out of a multi-month downtrend, with bulls targeting $26 as the next key level.

Avalanche (AVAX) price has recently broken out of a multi-month descending channel, forming a higher low followed by a higher high, marking a key bullish shift in market structure. Currently trading at $21.80, the price is now approaching a key horizontal resistance zone between $22 and $23, where the price was rejected multiple times,, including a prior lower high during the channel formation.

If AVAX price breaks above that resistance with volume and follow-through, it’ll likely trigger continuation towards $26. This aligns with the measured move target projected from the breakout near $18.80, signaling potential for further upside if buyers maintain control.

If the reversal is confirmed, AVAX price action would align with several bullish fundamentals currently supporting the asset. Notably, AVAX was recently added to Grayscale’s Top 20 list — a diversified set of assets across Crypto Sectors that, according to Grayscale, have high potential over the coming quarter.

According to Grayscale team, the addition was driven by a recent surge in transaction volume and user activity, which was likely due to new gaming integrations — particularly MapleStory. Launched in May, MapleStory N helped push Avalanche’s daily transactions past 1 million twice in a single week, with total weekly transactions reaching 5.8 million — the highest since early 2024.

Additionally, the proposed Grayscale Avalanche ETF is under consideration by the U.S. Securities and Exchange Commission, with the updated decision deadline set for July 15.