Avalanche (AVAX) Price Rebounding from the Buy Zone: Is a 40% Upswing on the Horizon?
The post Avalanche (AVAX) Price Rebounding from the Buy Zone: Is a 40% Upswing on the Horizon? appeared first on Coinpedia Fintech News
In the times when Bitcoin price is struggling to rise above $95,000, Avalanche price flashes huge potential of a bullish continuation. The token has been forming consecutive lower highs and lows after the rejection from the pivotal range at $22. In a wider perspective, the bears seem to have held a strong grip over the rally, but the AVAX price is flashing a hidden bullish divergence that may clear the path above the local threshold.
The AVAX price underwent its second successful rejection from the neckline zone, which has flashed a huge opportunity to take short positions. With the markets bleeding, there is a huge possibility that the price could take a dip towards the lower target that could complete a massive double top pattern, which could further harm the AVAX price rally in the long term. Meanwhile, the technicals do not seem to be in favor of a massive pullback, while a tight accumulation could prevail for some time.
The bears have restricted the rally below $22 since the major pullback in March, which seems to have drained the strength of the bulls. Besides, the Bollinger bands have begun to squeeze as the volume drops, hinting towards a drop in the volatility. Meanwhile, the CMF or the Chaikin Money Flow, has triggered a bullish rebound from the levels not visited since July 2024. Each time the weekly CMF rebounds from the lows below -0.15, a huge upswing follows with nearly a 200% price rise.
Hence, the AVAX price could trigger a strong rebound if the levels close above $20 and sustain for a day or two. With this, a rise above $22 could be validated that may further push the price above $25 and validate a rise above the bearish captivity. Failing to do so may keep the Avalanche price consolidated below $22 until a huge bullish volume creates massive buying pressure over the crypto.
