AVAX Declines 18% on Weekly Chart as Institutional Investment Fails to Bolster Price

Crypto Turmoil Hits AVAX and “Baby Shark” Token as Market Sentiment Wavers – 26/9/2025

The crypto market saw sharp declines this week, with Avalanche’s native token AVAX and a “Baby Shark” memecoin among the hardest hit, highlighting continued volatility despite institutional and promotional efforts.

AVAX Extends Weekly Losses
Avalanche’s AVAX fell 8% over the past 24 hours to $27.72, marking an 18% drop for the week. The token struggled to surpass resistance at $30.28 and found only weak support near $27.65, while trading volume dipped to 121,896 tokens in early Friday trading. Broad market weakness affected other major tokens, with ETH, SOL, and DOGE posting double-digit weekly losses and BTC falling 6%.

The decline comes despite recent institutional initiatives. AgriFORCE Growing Systems rebranded as AVAX One, announcing plans to raise $550 million to acquire and hold AVAX. The Nasdaq-listed firm has assembled a high-profile advisory team led by SkyBridge Capital founder Anthony Scaramucci and Coinbase Institutional’s Brett Tejpaul, aiming to hold over $700 million in AVAX. While the move positions AVAX One as a key custodian and institutional supporter, the market has yet to respond with significant buying momentum. Regulatory approvals for token-related vehicles are also pending.

“Baby Shark” Token Plunges 90%
Meanwhile, a cryptocurrency marketed as an official Baby Shark token collapsed 90% after brand-owner Pinkfong clarified it was unauthorized. The token fell from $0.35 to below $0.064 on Story Protocol, a layer-1 blockchain focused on intellectual property.

Pinkfong, the Seoul-based creator of the viral children’s music video with over 16 billion views, stated the token had “no affiliation whatsoever” with the company. The memecoin, which briefly reached a $200 million market capitalization, was issued via IP.World, which acknowledged relying on incorrect rights provided by a Pinkfong licensee. The platform noted its verification process blocked creator fees from being released.

Despite the clarification, traders who assumed the token was officially endorsed—fueled by influencer promotions and Story Protocol marketing—remained active. Blockchain analytics firm Bubblemaps reported at least one entity used multiple wallets to acquire $10 million worth of the token, representing roughly 7% of its supply, within the first minute of trading.

Market Takeaway
Both cases underscore the fragility of crypto market sentiment. While institutional and corporate initiatives aim to anchor confidence in AVAX and licensed memecoins, the market’s response remains cautious, emphasizing that hype and promotional backing alone may not be enough to counter broad selling pressure.

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