- 1
Avalanche displayed a strong rebound in the first quarter of 2023. - 2
The network launched several notable developments in Q1. - 3
The price declined by over 20% in the past 3 months.
Avalanche observes a strong rebound in the first quarter of 2023 despite the crypto winter that is slowly coming to an end. The reports from Messari revealed the market cap of the platform rising by 65.8% quarter-on-quarter (QoQ). The increase reflected a wide market trend for the blockchain platform.
The report notes that mainstream interest in Avalanche network infrastructure proceeded to grow during the first quarter. The period also witnessed partnerships with blockchain services like Amazon Web Service and Tencent Cloud, which is a cloud computing service. This marked Avalanche as a major adaptor of the blockchain space.
The Pictorial
AVAX price forms a sideways movement after a massive drop. The prices dropped to correct the price rally formed in early April. The trading volume notes a seller-dominant market as the prices encounter sellers. The Bollinger Bands diverge to mark prevailing volatility as the prices fall beyond correction. The EMA ribbon floats above the current price action, except for 200-EMA which acts as a support for AVAX price. The downward-sloping OBV suggests a declining interest in Avalanche, despite first-quarter growth.
The Avalanche price movement portrays a strong bear trend, as recorded in Super Trends. The bear trend arrived after the price rally that established a bullish swing. The CCI moves sideways near the negative 100 range and indicates a stagnant negative difference between historical prices and present prices. The MACD forms a bearish cross and records seller participation in the negative region. The RSI moves horizontally around the 40-range to indicate a seller-driven market.
The Peephole
In the smaller time frame, Avalanche price suggests a robust bearish influence as Super Trends form a downtrend due to the fall. The CCI moves on the negative zone to display a negative gap between historical prices and AVAX prices at press time. The MACD converges and records drained sellers as the bars recorded are non-existent. The RSI moves in the 40-range to mark a seller-favoring market.
Conclusion
Avalanche showcases a bearish trend prevailing in the market as AVAX price falls beyond correction, establishing a downtrend. The market shows signs of further fall despite the growth recorded in the first quarter of 2023. The falling price can test the support near $16.50 before retracing.
Technical levels
Support levels: $16.50 and $14.40
Resistance levels: $18.00 and $21.20
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational purposes only and do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
Source: https://www.thecoinrepublic.com/2023/05/03/avax-price-prediction-avalanche-results-show-growth-in-q1-2023/