Avalanche (AVAX) surged on Tuesday following the New York Stock Exchange’s (NYSE) decision to use its blockchain technology for settlement services on a forthcoming tokenized securities platform. The announcement marks an important milestone for Avalanche as established financial institutions accelerate their adoption of blockchain-based infrastructure.

The AVAX token climbed 5.2% to $8.60 within 24 hours, having briefly reached $8.99 during the session. The rally pushed the cryptocurrency close to the psychologically significant $9 level, which has emerged as a key resistance zone.

Market participation increased considerably alongside the price gains. Avalanche’s daily trading volume jumped nearly 448% to $537 million compared with the previous 24-hour period. This followed Monday’s rally, when AVAX advanced as much as 10%, outperforming much of the broader cryptocurrency market.

Avalanche Gains NYSE Backing for Tokenized Securities Infrastructure

The NYSE has selected Avalanche to provide the underlying blockchain ledger for the clearing firm associated with its planned digital alternative trading system (ATS). The initiative is designed to support continuous trading, clearing, and settlement of tokenized financial securities.

The proposed platform could eventually give investors the ability to trade tokenized U.S. equities and exchange-traded funds beyond the operating hours of conventional stock markets.

Avalanche will supply the core infrastructure through a dedicated blockchain network tailored to institutional needs. The NYSE will continue relying on its existing Pillar matching engine to process buy and sell orders, while Avalanche handles the underlying ledger infrastructure.

The development highlights Avalanche’s expanding role in the institutional financial sector, where traditional market participants are increasingly evaluating blockchain technology for settlement and asset management.

The NYSE is not alone in pursuing this transition. Nasdaq is developing its own tokenized securities infrastructure, while the Depository Trust & Clearing Corporation (DTCC) is exploring blockchain-based settlement systems.

Nevertheless, the NYSE’s decision represents a significant opportunity for Avalanche. Its involvement in a project backed by one of the world’s largest stock exchanges could strengthen institutional confidence in its technology and increase its visibility in the growing tokenization sector.

AVAX Eyes $9 Breakout as Trading Activity Accelerates

Avalanche’s latest rally has brought its price close to a major technical resistance level. AVAX advanced from approximately $7.82 to $8.99 during the recent trading sessions, putting the $9 threshold firmly on traders’ radar.

A sustained break above $9 could create an opportunity for the token to challenge the next resistance area near $9.10.

The nearly 448% increase in trading volume provides additional evidence of renewed market interest. The NYSE announcement appears to have attracted fresh attention to AVAX, although maintaining the current momentum will depend on continued buying demand.

If bulls successfully establish support above $9, the cryptocurrency could extend its upward movement. Conversely, increased profit-taking could push prices lower, with $8 emerging as an important psychological support level.

The latest development also reinforces Avalanche’s ambitions to become a key infrastructure provider for institutional finance. As financial companies explore tokenized securities and blockchain-powered settlement, the network is gaining opportunities to compete with established blockchain platforms.

Its selection for the NYSE initiative gives this expansion strategy a significant boost, placing Avalanche closer to the intersection of traditional financial markets and blockchain technology.