Are Avalanche Investors Ready to Trigger a Bearish Trend?
As a reader interested in cryptocurrency trends, you may be wondering about Avalanche (AVAX) price movements. Recent signs suggest that bearish sentiment might be on the horizon, driven by Avalanche investors themselves. Hereβs what you need to know:
Avalanche Investors Might Move to Sell
When considering the current price of Avalanche around $53, itβs crucial to note that a potential downward trend is looming. The Global In/Out of Money (GIOM) metric indicates that a significant amount of AVAX tokens bought between $51 and $56 could be at risk if the price falls below $51. This scenario would lead to considerable losses for investors holding these tokens.
- About 34.15% of the circulating supply is in the hands of short-term traders.
- If these investors decide to sell to mitigate losses, Avalanche price could experience a significant drop.
AVAX Price Prediction: Decline is Likely Possible
At the current price of $53, Avalanche faces the risk of losing support at this level, potentially leading to a test of $50. A further decline could push the price down to $47, where it aligns with the 100-day Exponential Moving Average (EMA). Hereβs what you need to consider:
- A bearish scenario could push AVAX towards $47, supported by the 100-day EMA.
- On the flip side, a shift in momentum could turn the 50-day EMA into support, leading to a potential price recovery.
Hot Take: Is Avalanche Heading for a Bearish Trend?
As a crypto enthusiast, stay vigilant about the potential bearish trend brewing in Avalanche. Keep an eye on investor behavior and market indicators to gauge the cryptocurrencyβs future price movements accurately.
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