Grayscale updates Avalanche ETF S-1 filing, AVAX price increased by over 9% this week

Grayscale, a leading digital asset management firm, recently submitted an updated S-1 filing for the Avalanche ETF to the U.S. Securities and Exchange Commission (SEC), marking a significant step toward listing on Nasdaq. As market expectations for approval of the Avalanche spot ETF heat up, AVAX surged over 9% in the past week, becoming one of the market’s recent focal points.

According to the latest disclosed regulatory documents, Grayscale has made a second revision to its S-1 filing for converting its Avalanche Trust into a spot Avalanche ETF. This update does not disclose management fees, pledge costs, or related exemption clauses but focuses on adjusting the physical subscription and redemption mechanisms, risk and tax disclosures, and some financial data. Additionally, the document clarifies that Grayscale Investments Sponsors LLC is the sole sponsor of the trust. These modifications are interpreted by the market as a response to compliance feedback from the SEC during the review process, potentially increasing the likelihood of ETF approval.

Currently, Grayscale Avalanche Trust plans to list on Nasdaq under the ticker GAVX, while the product is still trading on OTC Markets under the ticker AVAXFUN. Previously, VanEck also submitted an Avalanche ETF application and disclosed a management fee of 0.30%, making the Avalanche ETF a hot topic in the U.S. crypto ETF space recently.

In terms of price performance, AVAX has strengthened in the short term driven by ETF-related news, but momentum has waned. Over the past 24 hours, AVAX has fallen about 2.5%, currently trading at $12.08, with a daily low of $11.88. Meanwhile, trading volume decreased nearly 18% compared to the previous day, reflecting a cooling market participation amid rising macro uncertainties.

The derivatives market also shows cautious sentiment. Data from CoinGlass indicates that the open interest in AVAX futures has decreased to approximately $489 million, with declines across several major exchanges in a short period. This suggests some traders are reducing risk exposure while awaiting further clarity on regulatory developments.

Overall, Grayscale’s update of the Avalanche ETF S-1 filing is seen as an important signal for the expansion of U.S. spot crypto ETFs. In the short term, AVAX’s price may continue to fluctuate under the influence of ETF expectations and market sentiment; in the medium to long term, it will depend on the SEC’s final stance on the Avalanche ETF and whether institutional funds can enter the asset through compliant channels.