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One of the primary challenges for autonomous vehicle (AV) is planning a collision-free path in dynamic environment. It is a tricky task for achieving high-performance obstacle avoidance with velocity-varying obstacle. To solve this problem, a highly smooth and parameter independent obstacle avoidance method for autonomous vehicle with velocity-varying obstacle (HSPI-OAM) is presented in this work. The proposed method uses the virtual collision point model to accurately design the desired acceleration, which makes the obtained path highly smooth. At the same time, the method gets rid of the dependence on parameter adjustment and has strong adaptability to different environments. The simulation is implemented on the Matlab-Carsim co-simulation platform, and the simulation results show that the path planned by HSPI-OAM has good performance for obstacle with acceleration.