AVAX Price Drops 6.7% Despite Bullish Technical Momentum – Support Test at $29.41

Quick Take

• AVAX currently trading at $30.79 (-6.72% in 24h) • Avalanche’s RSI at 57.54 indicates neutral momentum despite price decline • Strong bullish trend intact above major moving averages despite recent pullback

What’s Driving Avalanche Price Today?

The AVAX price has experienced a notable 6.72% decline in the past 24 hours, dropping from highs of $33.61 to test support at $29.41. With no significant news events reported in the past week, this price action appears to be driven by broader cryptocurrency market sentiment and technical profit-taking after Avalanche’s recent rally.

The absence of negative fundamental catalysts suggests this pullback may be more of a healthy consolidation rather than a trend reversal. AVAX has been trading in a strong uptrend throughout 2025, with the token advancing significantly from its 52-week low of $16.04 to current levels around $30.79.

AVAX Technical Analysis: Bullish Signals Emerge Despite Price Decline

The Avalanche technical analysis reveals a complex but ultimately constructive picture for AVAX traders. Despite today’s price decline, several key indicators suggest the underlying bullish momentum remains intact.

Avalanche’s RSI currently sits at 57.54, placing it firmly in neutral territory rather than oversold conditions. This AVAX RSI reading indicates there’s still room for further upside movement without entering overbought levels that typically signal potential reversals.

The MACD indicators paint an encouraging picture for Avalanche bulls. With the MACD line at 2.1840 trading above the signal line at 1.9512, and a positive histogram reading of 0.2328, the momentum indicators suggest continued bullish pressure for AVAX despite the recent price weakness.

Moving averages provide strong confirmation of Avalanche’s bullish trend structure. The AVAX price remains well above all major moving averages, with the current price of $30.79 trading above the 7-day SMA ($32.55), 20-day SMA ($28.95), 50-day SMA ($25.92), and 200-day SMA ($21.97). This alignment indicates a healthy uptrend across multiple timeframes.

Avalanche Price Levels: Key Support and Resistance

Based on Binance spot market data, several critical Avalanche support levels are now being tested. The immediate support for AVAX sits at $23.86, with stronger support identified at $21.34. Today’s low of $29.41 successfully held above these key levels, suggesting institutional buying interest remains strong.

On the upside, AVAX resistance appears concentrated around $35.81, which aligns closely with the Bollinger Bands upper boundary at $35.73. The current Bollinger Bands position shows AVAX trading at 63.57% of the band width, indicating the token has room to move higher before reaching overbought territory.

The daily Average True Range (ATR) of $1.96 provides insight into expected AVAX volatility, suggesting daily moves of approximately $2 in either direction are normal for Avalanche under current market conditions.

Should You Buy AVAX Now? Risk-Reward Analysis

For aggressive traders, the current AVAX price presents an attractive entry opportunity. The combination of holding above key support levels while maintaining bullish technical indicators suggests the risk-reward profile favors the upside. Traders could consider entries around current levels with stops below $28.95 (the 20-day SMA) and targets toward the $35.81 resistance level.

Conservative investors might wait for a confirmed bounce above $32 before adding to positions. The AVAX/USDT pair’s ability to reclaim levels above the 7-day moving average would provide additional confirmation that the recent weakness was merely a temporary pullback rather than a trend change.

Risk management remains crucial given the broader cryptocurrency market’s volatility. The strong support zone between $21.34 and $23.86 provides a clear area where stops could be placed for longer-term positions, offering a reasonable risk-reward ratio for those bullish on Avalanche’s prospects.

Conclusion

Despite the 6.72% decline in AVAX price today, the technical picture for Avalanche remains constructive. The successful defense of key support levels, combined with bullish momentum indicators and the token’s position above all major moving averages, suggests this pullback may offer an attractive buying opportunity for traders with appropriate risk management. Watch for a potential bounce in the next 24-48 hours as AVAX tests its ability to reclaim the $32-33 range, which could signal a resumption of the broader uptrend.

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