Animoca Brands has recently announced a strategic investment in Avalanche, aiming to drive adoption of projects within the Avalanche ecosystem. Could this investment have a positive impact on the price of AVAX?
The price of Avalanche (AVAX) has dipped below $10 amidst a broader sell-off in the cryptocurrency market.
While AVAX may see further declines below $9, the news of Animoca Brands partnering with Ava Labs to expand adoption in the Middle East and Asia could potentially be bullish for the token.
Partnership between Animoca Brands and Ava Labs
Animoca Brands holds a significant presence in the web3 ecosystem globally, particularly in the East.
The recent announcement on March 19th disclosed a strategic partnership between Animoca and Ava Labs, focusing on advancing the Avalanche blockchain ecosystem.
Although the exact investment amount was not revealed, Animoca’s leadership has emphasized the significance of this partnership.
The collaboration aims to deploy capital in AVAX-based projects, support product integrations, and provide advisory services.
Ava Labs recognizes Animoca’s extensive portfolio of over 600 investments and expertise in real-world assets, gaming, and digital identity.
With this partnership, Ava Labs intends to expand its presence in Asia and the Middle East.
“Avalanche combines scalable subnet architecture with EVM compatibility, which makes it particularly well suited for sovereign and institutional deployments — areas where we see growing demand globally,” stated Omar Elassar, Animoca’s head of global strategic partnerships and managing director for the Middle East.
Avalanche’s Position in RWA and DeFi Markets
As of March 19, 2026, Avalanche (AVAX) holds the 22nd position among the largest cryptocurrencies by market capitalization, valued at approximately $4 billion.
However, the network’s size and ecosystem activity remain notably smaller compared to leading altcoins.
Data suggests that Avalanche lags behind major chains in terms of decentralized finance and real-world asset adoption.
Tokenized assets on Avalanche amount to around $1.3 billion, significantly lower than Ethereum’s $15.7 billion.
Similarly, Avalanche’s DeFi total value locked stands at $1.9 billion, notably lower than Ethereum and Solana.
Despite these differences, Avalanche’s on-chain finance footprint is expanding, with potential acceleration from Animoca Brands’ support.
AVAX Price Analysis
Currently trading at around $9.41, AVAX has experienced a 3% decline in the past 24 hours.
Technically, AVAX is within a broad downtrend trajectory, with price movements constrained within Bollinger Bands.
Currently positioned near the middle line of the technical indicator, AVAX has faced rejections from the upper band recently.
The relative strength index (RSI) shows a downward trend, hovering around 48, indicating a potential shift in momentum.
Although sellers exhibit determination, they do not dominate the market. Maintaining support above $9 could lead to a broader recovery, potentially breaking above $10 and retesting year-to-date highs around $15.
On the downside, failure to defend support levels could push AVAX towards lows of $8.20.
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