Avalanche (AVAX) recorded a 4% gain on Wednesday following news that the New York Stock Exchange has selected the network for a major tokenized securities initiative. AVAX was trading at $8.54, up 2.7% over the previous 24 hours, despite a broader decline across the crypto market. Its market capitalization increased by 2.8% to $3.8 billion.
Avalanche is a Layer 1 blockchain that supports decentralized applications and custom blockchain networks, allowing companies to build their own infrastructure. Over the past month, however, AVAX had declined more than 21%, bottoming out near $7.82.
NYSE's tokenized securities platform plans to use the Avalanche network as its settlement ledger. The launch remains in development pending regulatory approval. The platform is expected to support 24-hour trading of tokenized stocks across multiple blockchains. Notably, NYSE will deploy its own custom Avalanche-based blockchain rather than using the public Avalanche network.
Avalanche tokenized assets currently stand at $1.7 billion, and the network has recently surpassed 1.6 billion transactions. The partnership is being viewed as a significant institutional adoption win for Avalanche, although it does not necessarily guarantee increased demand for the AVAX native token.
From a technical perspective, the $8.4–$8.5 range is acting as important support. A breakout could open the way for further recovery, while a drop below $8.37 would suggest a failed move and potential decline under $8.
