Does the Q2/2025 data of Avalanche pave the way for a price breakout?

Avalanche ( AVAX ) has witnessed an explosive Q2 2025 with a series of positive growth signals. This is one of the most prominent blockchains of the quarter, recording a significant rise to the sky across many core metrics.

So how much has Avalanche "prospered"? According to a report from Messari, the number of active addresses on the network has skyrocketed by 210% in Q3. At the same time, the average daily trading volume also impressively increased by 169%, while the total locked value (TVL) surged by 37% in just three months.

Behind these impressive numbers is the vibrancy of the ecosystem, driven by significant changes in the network infrastructure. Specifically, the Octane upgrade – a major advancement that significantly reduces transaction costs – has become a powerful catalyst for the growth momentum of Avalanche.

Thanks to Octane, the network has become more attractive to users, leading to vibrant activity in the DeFi sector. According to analyses, this recovery and growth is not only driven by individual users but also supported by large institutions – indicating increasing confidence in the long-term potential of Avalanche.

DEX trading volume on Avalanche exceeds December 2024

Trading activity on the Avalanche network has recorded an impressive breakout, especially regarding the trading volume on decentralized exchanges (DEX). In June, the lowest DEX volume only reached about 77.72 million USD per day. However, last Tuesday, this figure surged to 675.4 million USD – the highest in the past 12 months.

The last time Avalanche reached a higher DEX trading volume was in March 2024, when the peak for the day exceeded 921 million USD.

The DEX volume and TVL of Avalanche | Source: DeFiLlamaIn just a few short weeks, the DEX trading volume on this network has risen to the sky eight times. The total value locked (TVL) has also seen a strong recovery, rising from a low of 1.35 billion USD in June to 1.92 billion USD on Tuesday.

Recent growth signals clearly reflect the strong recovery momentum of the market. In early May, the daily transaction volume had reached a concerning low – just around 202,000 transactions. However, by July 18, this number had skyrocketed to a peak of 1.52 million transactions per day, before slightly dropping to below 558,000 on July 24.

The number of transactions of Avalanche | Source: DeFiLlamaAlthough the growth period from May to July was very impressive, network activity has not yet reached the explosive scale seen in November and December 2023.

Is the price of AVAX undervalued?

The latest data shows that Avalanche is one of the blockchains benefiting the most from the recent vibrant wave of the cryptocurrency market.

The increasing attraction of the Avalanche ecosystem is clearly reflected in the performance of the AVAX token – the native token of the network – with its dominance rising to the sky by more than 25% in just one month.

At the same time, the demand for AVAX also exploded, attracting a stable and strong liquidity flow. As a result, the price of AVAX surged from the support area of $15.6 in Q2, reaching a peak of $26.5 at the beginning of this week – corresponding to an impressive profit of 68%.

Daily chart of AVAX/USDT | Source: TradingViewAs of the time of writing, AVAX is being traded around $23.5, approximately 10% lower than the recent peak. This correction comes after the daily RSI indicator showed that the price had fallen into the overbought zone.

Although it has recovered significantly from the bottom in June, AVAX is still quite far from its historical peaks. Specifically, the current price is approximately 58% lower than the peak set in December 2024 and 83% lower than the historical peak recorded in November 2021.

These deep discounts could make AVAX an attractive option in the eyes of many investors, despite the recent rise to the sky.

If the cryptocurrency market returns to the peak levels of December 2024, the price potential of AVAX could reach 137%. In a more optimistic scenario, if AVAX re-establishes its historical peak, the growth margin could reach up to 523% – a figure sufficient to stimulate the greed of the most cautious investors.

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