Published 10 hours ago
Earlier today, the Avalanche coin price showcased an 8.05% gain and tested $22 local resistance. However, a sudden selling pressure in the crypto market reverted the price with a long rejection candle and plunged the altcoin to its current price of $18.91. Thus, a possible correction could offer a pullback opportunity for interested buyers.
Key points:
- The AVAX chart presents supply pressure at $20.
- A possible correction could retest the breached resistance, such as $17.8 and $16.5
- The intraday trading volume in the AVAX is $502.2 Million, indicating an 80% gain
Source- Tradingview
The Avalanche(AVAX) price witnessed a V-shaped recovery from the $14.5 support amid the recent recovery phase in the crypto market. Thus, altcoin registered a 36% growth within a fortnight and reached a high of $19.8.
The gradual growth in volume activity indicates the trader’s interest in long positions and the high possibility for further development. However, the long-wick rejection attached to the daily candle indicates the supply pressure from above.
Though this rejection suggests the profit booking from short-term traders, the AVAX price may witness a longer correction or consolidation if the selling pressure. Anyhow, the $17.8 to $16.5 support is suitable to trigger a post-correction rally. Thus, with sustained buying, the prices should rise 16.5% to hit the $22 mark.
On a contrary note, a breakdown below $16.5 will offset the bullish thesis and slump the price back to the $x mark.
Technical indicator
EMAs- during the prior downfall, the downsloping EMAs(20, 50, 100, and 200) acted as a significant dynamic resistance to plunge the price lower. However, the prices reclaimed these EMAs with the recent recovery, as they should flip into viable support.
RSI- the daily-RSI slope climbing higher in bullish territory indicates growth in underlying bullishness.
Avalanche price intraday levels
- Spot-$ 18.8
- Trend- Bullish
- Volatility- Medium
- Resistance levels- $38.3 and $53
- Support levels- $30 and $22
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
Source: https://coingape.com/markets/can-avalanche-price-recovery-hit-22-in-the-coming-week/