Key Highlights AVAX has dropped below $12 and is now trading around $11.07 amid strong selling pressure. Bitcoin’s drop and weak demand are adding more downside risk for AVAX. VanEck launched the first U.S.-listed AVAX ETF, but it hasn’t caused a major price rally yet. Avalanche (AVAX) is facing renewed pressure after breaking below a key support level near $12. The token is currently trading around $11.07, marking an 8% drop in the last 24 hours from an intraday high of $12.10. Trading activity has also dropped by 6.18%, recording about $295 million in trading volume, while the market cap sits at $4.8 billion. AVAX Price Chart | Source: CoinMarketCap AVAX’s market structure is pushing bearish momentum as sellers continue to control the trend. Looking at the chart on the daily, the price has initially tapped up the current support zone it is in, which propelled it up to $12.22 before dropping again. Meanwhile, this downtrend is shared across all altcoins as the overall market dropped by 2.04% to $2.94 trillion in the last 24 hours, influenced by a 2.34% drop in Bitcoin, the largest cryptocurrency, which saw its price fall below $90,000. AVAX happens to be one of the altcoins that is highly influenced by Bitcoin’s price action. If Bitcoin falls, AVAX could face more downside pressure before finding another strong support. Analyst Jesse Peralta noted in a recent post on X that the AVAX/BTC pair remains stuck in a descending channel, with risk of falling toward the 0.000110 BTC region if support breaks. This matters because when AVAX cannot outperform Bitcoin, it often drops harder during market pullbacks. $AVAXBTC looks weak here! Could drop to 0.000110BTC pic.twitter.com/JXuteZOMcB — Jesse Peralta (@TheJessePeralta) January 29, 2026 Traders stay cautious despite ETF spotlight Derivatives are also printing similar pictures. According to Coinglass, AVAX future volume is down 8.33% to $574 million in volume, while its open interest has also dropped by 3.27% to about $463 million. This means that traders are being cautious of the market as they slow down on opening new positions. AVAX Derivatives Data | Source: Coinglass At the same time, over $881,000 has been liquidated from the market in the last 24 hours. $838,000 from that amount came from traders who had bet on the price going up, while $42,740 came from short position traders. Meanwhile, the token is gaining attention in the traditional market as VanEck launched the first U.S.-listed Avalanche ETF on January 26. The ETF, which trades on Nasdaq under the ticker VAVX, is designed to allow investors to get exposure to AVAX without directly buying or holding the token. VanEck has also waived fees on the first $500 million in assets until late February. However, the ETF has not yet triggered a strong price jump. AVAX heads straight for $10 support level On the daily chart, AVAX has broken another key support at $11 and is heading toward the weekly support level at $10.94. In short, the price disrespected the $12 support level with a break of structure to the downside despite a short rally from December 2025. AXAX Weekly Price Chart | Source: TradingView If the current daily candle takes liquidity and rejects, it could spark a possible rally, with momentum to break out above $13 or push the price toward $14.80–$15. However, if the candle closes in a solid, the price would have to test the $10.94 support level to gather enough momentum for a possible rally. Moreover, the Relative Strength Index (RSI) is currently at 39, while the moving average is at 32. This means that the sellers are still controlling the market, but a switch could happen if it enters an oversold condition. Also Read: Crypto Trader Makes $2M in 24 Hours on Hyperliquid Amid HYPE Rally