AVAX Price Analysis: What’s Next For Avalanche (AVAX)?
Currently ranked 12th by market cap, with a total supply of 440,043,419 AVAX, the native utility token of the Avalanche blockchain has been experiencing a downtrend. The total trading volume in the last 24 hours has been over $396,250,098, with the price dropping below the 100-day Simple Moving Average (SMA) as the overall cryptocurrency market remains bearish. As of the time of writing, AVAX was trading around $33.52, down by 0.22% in the last 24 hours.
Technical Indicators Point Toward Further Downtrend
To predict the future movement of AVAX, several technical indicators can provide insights:
– **4-Day MACD**: *MACD histograms are trending below the zero line, with both the MACD line and the Signal line crossing below it, indicating a sustained downward movement.*
– **4-Day RSI**: *The RSI signal line has dropped below the 50% level, suggesting continued selling pressure dominating the market.*
– **Alligator Indicator**: *AVAX is trading below the alligator lines, indicating a potential continuation of the downtrend.*
The Possibility of Forming a New Low
Based on the recent price action, AVAX has formed resistance levels at $39.94 and $36.15, with a support level at $30.34. The current movement towards the support level suggests a potential new low formation.
– *If the price breaks below $30.34, it might continue to drop even further to create a new low.*
– *On the other hand, failing to break below the support level could indicate a reversal, with a potential upward movement towards the $36.15 resistance level.*
– *Breaking above $36.15 could lead to further price appreciation, testing the $39.94 resistance level.*
Hot Take: Stay Cautious While Trading AVAX
As AVAX continues its downward trajectory, caution is advised for traders and investors. Keep a close eye on key support and resistance levels to determine the future price movement. Technical indicators point towards a sustained downtrend, so it’s essential to analyze the market carefully before making any trading decisions.
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