Avalanche ($AVAX) Price Surges to Multi Month High, Can Bulls Continue Pushing to $40? –
AVAX Intraday Trading Levels: Spot rate: $29.89 | Trend: Bullish | Volatility: High | Support: $29.29 | Resistance: $33.45
Can AVAX Price Break $40?
AVAX price was consolidating within an ascending channel over the past 3 weeks before bulls came out & pushed price above the top trend line. Since the trend line break, AVAX price has exploded to multi month highs. As BTC has been consolidating the last few days, many alt coins have had a chance to push to new highs that haven’t been seen in many months.
General Tip: As long as BTC stays steady, altcoins will continue to run. BTC & other large cap coins set the stage for a large scale market revival which has occurred since August 1st.
While looking at the ascending channel we can see how hard the consolidation was, which is what allowed AVAX price to go parabolic. Once bulls managed to breakout of the top trend line, AVAX was set free and spiked almost 80% In 2 days. At the time of writing, price got stopped out at a major resistance zone found at $33.45-$37.24.
If bulls regain their strength & break and hold this zone, Avalanche will be in for another spike. We can expect prices to hit the given target of $41.91 & potentially $48.10.
At the time of writing, AVAX is being supported by a major support level found at $29.29. In the case bears assert their dominance & push AVAX price below this support, we should expect a -15% fall to the next major support of $24.47. This would be a healthy scenario & nothing out of the normal as AVAX price is up nearly 120% over the last week. The 50MA has held prices up ever since the uptrend started , so we can expect this to stay true. As long as price is above the 50MA, Avalanche is in a bullish state to potential hit the next given targets.
- While looking at the Stochastic RSI, we can see how it has been respecting a trend line over the last few days. If strength fails to hold this trend & breaks below, we should expect similar retracement to occur on the price as it would lose much strength in its current position.
- The regular RSI also looks very similar as a trend line has supported it the entire ride into the overbought territory. Any break below this trend will break the uptrend & will result in price to fall to the major supports given.