Avalanche price analysis: AVAX faces sudden dip after skyrocketing up to $92.47

TL;DR Breakdown

• Avalanche price analysis shows price receded more than 4 percent over the past 24 hours
• AVAX faces sell offs after gaining more than 37 percent over the last 5 days
• Trading volume fell 24 percent while market capitalisation dropped 4 percent

Avalanche price analysis has turned bearish today, as the token dropped more than 4 percent over 24 hours. Price declined as low as $84.82, which is however still at a distance from the simple moving average (SMA) at $78.47. AVAX has enjoyed a profitable past 5 days, where price jumped from $65.36 to around $92.47 where resistance was met. Sellers breached the market over the past 24 hours, bringing in volatility and hence the price dip. Trading volume over the day’s trade fell by 24 percent, while AVAX market capitalisation dropped 4 percent.

The larger cryptocurrency market also faced a testing Sunday, as leading cryptocurrencies began declining. Bitcoin fell more than 2 percent to settle just under $41,000, while Ethereum dropped 3 percent to stay in touching distance of the $3,000 mark. Ripple, Cardano and Dogecoin dropped 2 percent each, while Solana and Polkadot shipped around 3 percent in price. The only positive movement was seen by Terra, upping 3 percent to reach up to $94.71.

Avalanche price analysis: $92 resistance determined on daily chart

On the 24-hour candlestick chart for Avalanche price analysis, the AVAX token can be seen facing stern resistance around the $92 mark. Regardless of the bullish run over the past 5 days, AVAX came stuck at the $92.47 mark to kill expectations of an ascension up to $118 and $126. Currently, price sits well above the 25-day exponential moving average (EMA) at $80.78 which justifies the recent bullish run. However, the extent of the current pullback is yet to be seen, where staying above the previous resistance at $83 will ensure a steep correction down to $66 and then $53 is avoided.

AVAX has retained a healthy or slightly overvalued market valuation at a relative strength index (RSI) of 57.39 and the moving average convergence divergence (MACD) continues to retain the bullish crossover from March 17 but is forming bearish highs. Over the next 24 hours, a battle between sellers and buyers is expected to determine price action and the $83 mark remains crucial. AVAX could profit if Bitcoin itself continues to decline and garner similar interest as of the past 5 days from the larger cryptocurrency market.

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