Avalanche Forms A Falling Wedge On The Daily Chart – Breakout Target Set At $56
In the past two months, the avalanche faced huge sales pressure. Since mid -December, its price has fallen by more than 42 %. Driven by uncertainty, the market still fluctuates high, but the recent recovery signs indicate that emotions have changed. After several days of positive actions, Avax showed signs of strength, and analysts are closely paying close attention to potential breakthroughs.
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Top analyst Carl RuneFelt shared key opinions on X, indicating that Avax has formed another dilemma on the daily timetable. This model is widely considered to be a reversal indicator of the bullish, indicating that if Avax broke out, huge upward movement may occur. The focus of RuneFelt is that the target of Avax’s breakthrough is about $ 56, which is consistent with the level of key resistance.
With the acceleration of the encryption market For the potential bullish phase, the avalanche’s price actions in the next few weeks are crucial. If the wedge composition works as expected, Avax may see a strong rally, which attracts new investor confidence. However, traders are still cautious because failure to exceed the key level may lead to continuous merger or even further disadvantages. Now, everyone’s eyes are staring at the avalanche because it approach the decisive moment.
Under the pressure of the market, the avalanche’s eyes break through
The avalanche showed signs of recovery in the past few days, soaring from the key support level by more than 13 %. This move has inspired investors’ optimism, but it is still a problem that has been occupying a wider or more trend of decline since late December. If Avax fails to support the key supply level as a support, the recent income may be short -lived, and the downward trend may continue.
Top analyst Carl Ununefelt shared technical analysis on XIt revealed that AVAX formed another drop of wedge within the daily range. This model is widely considered to be a reversal signal of the bullish, indicating that there may be obvious breakthroughs. According to the girl, once the Avax broke out, the top of the target was set at $ 56, which is 64 % of the current level.
However, traders must still consider some risks. Although the wedge breakthrough may marked the beginning of the newly bullish stage, Avax must first overcome the key resistance level to confirm the trend reversal. If the bull cannot maintain the current support level and pushes the price to increase these obstacles, AVAX may face further downward pressure.
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Avax price faces key resistance
After Avax (Avax) occurred very high on Friday, the current transaction price was $ 34.4. Before the entire daily movement was revoked, the price rose to $ 36.1. This rapid price fluctuation reflects the uncertainty of the market because Avax strives to find the direction.
In order to make the Bull confirmed the potential reversal, the price must be recovered as soon as possible as soon as possible and established support above it. In addition, AVAX needs to continue the 200 -day index moving average (EMA) to $ 34.6. This is a vital level of technical level and can determine a short -term trend. The continuous movement of these levels will enhance the bullish mood and may trigger the rally towards a higher resistance area.
However, failing to exceed 200 days of EMA may lead to increased sales pressure, which pushed AVAX to a lower demand level of $ 31.7. This will show that since mid -December, the trend of losses has always occupied the market.
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As the market still has uncertainty and price fluctuations, the trajectory of AVAX in the next few days is essential. If the bull restores control and recover the key level, a strong upward action may occur. Otherwise, further combination or downward movement is still possible.
Featured images from Dall-E, chart of tradingView
