Bitwise Asset Management recently announced the launch of its Avalanche-linked ETF, BAVA. This would offer investors direct exposure to AVAX, and also incorporate staking into the fund’s structure.
The firm will stake a portion of its holdings through its in-house unit; with a target average yield of around 5.4% while maintaining liquidity.
The announcement leaned heavily into Avalanche being an enterprise-focused blockchain. The platform supports a variety of initiatives – from tokenization efforts to government-backed pilots. The appeal is in low fees and near-instant settlement.
AVAX ETFs flows stall
What’s interesting, is that U.S. spot AVAX ETFs have recorded zero net inflows since the 17th of March! This is despite total net assets holding somewhat steady at around $17.19 million.
Earlier in the quarter, inflows were sporadic but visible. The chart peaked above $4 million in a single day in mid-February, with smaller bursts through late February. That pace has disappeared.
Since mid-March, activity has been flat, with negligible inflow attempts.
AVAX to stabilize?
Price action also shows the same hesitation. AVAX traded around $9.45 at press time, recovering from its early April dip near the $8.50-$8.70 range. The greater structure remains range-bound, with no clear breakout above the recent highs closer to $10.50.
RSI was above the neutral 50 mark, so buying pressure has slightly improved. Meanwhile, the MACD also turned positive; the signal line crossed upward and histogram bars flipped green. Gains were limited at 0.06.
AVAX is showing early signs of stability, but only time will tell about a trend reversal.
Final Summary
- Bitwise’s new AVAX ETF launch comes as U.S. spot AVAX ETFs have recorded zero net inflows since March 17!
- The lack of ETF flows keeps the price trend uncertain.