Over the last few weeks, there has been a revival in bullish sentiment on the cryptocurrency market. Many altcoins have seen significant gains. AVAX is the native token for the Avalanche blockchain and one such altcoin has attracted investors and traders’ attention. We will examine AVAX’s price fluctuations and give an analysis of its future prospects.
Since the beginning of the year, AVAX has enjoyed a remarkable bullish run. It surged from $5.68 in January down to $60.86 in November. The coin suffered a sharp correction in December. It fell to $18 before rebounding to $23. Despite volatility, AVAX’s overall trend remains positive with the coin trading at well above its 200-day moving mean.
The chart shows that AVAX appears in a consolidation phase. Price is moving between key levels. Strong support has been found at the $18 level which coincides with the 50 day moving average. Positively, resistance can also be seen at $25, which is a psychologically crucial level that coincides with the 100 day moving average.
AVAX is poised for a continuation its recent rally from the $18 level in the short-term. A bullish hammer candlestick pattern has been formed by the coin, which suggests a possible reversal in the current downtrend. Volume has been rising, which is a bullish sign that buyers may be entering at these levels.
AVAX may be heading for a major move up if it can break above the $25 mark. Breaking above this level would signal a bullish trend and the possibility for the price to surpass its prior all-time high, $60.86. Investors and traders who are interested in AVAX might consider entering a long position at the $18-19 level with a target price $25 or higher.
The overall trend for AVAX is bullish, even with the recent correction. It appears that the coin is in a consolidation phase. The price has bounced from $18 and is expected to rise further, with the potential to move significantly to the upside if the $25 level is broken. AVAX could be a good candidate for investors or traders who are looking to invest in high-potential altcoins.