- AVAX experienced fluctuations in the red zone below opening market price.
- AVAX achieved a peak price of $14.22 in the previous week.
- AVAX exhibits fluctuations within a broadening descending wedge pattern.
The bears have exerted significant control over Avalanche in the past week. AVAX experienced fluctuations in the red zone throughout the initial four days, consistently hovering below the opening market price of $14.108. Though short-lived, brief moments of respite from the red zone were observed as AVAX swiftly descended below the opening market price. Nevertheless, in the course of the previous week, AVAX managed to achieve a peak price of $14.22.
The chart illustrates a consistent pattern of AVAX exhibiting lower highs during the latter half of the fourth day, which persisted until the commencement of the seventh day, culminating in a price floor of $12.93. However, after reaching this nadir, AVAX initiated an upward trajectory, presently valued at $13.27, reflecting a noteworthy 1.08% surge within a 24-hour.
Upon analyzing the chart above, it becomes evident that AVAX exhibits fluctuations within a broadening descending wedge pattern. While the upper trend line remains relatively close to the horizontal axis, the lower trend line displays a significant angle, indicating a consistent decline in AVAX’s price, marked by lower lows.
AVAX will likely reach the upper trend line near Resistance 3 at $21 in the context of a conventional broadening descending wedge pattern. However, a recent downward movement suggests that AVAX may reach Support 1 at $11.3. If AVAX breaks below Support 1, it will need to rely on the lower trendline for support to sustain this pattern.
If AVAX experiences a significant surge, it will likely encounter initial resistance at the intersection of section (2) and the lower trendline, indicated by the pink line. This resistance level presents a favorable opportunity for buyers to enter the market. If AVAX successfully breaks through Resistance 1 at $15, it has the potential to further advance towards Resistance 2 at $17. Should the bullish momentum persist, AVAX may even reach Resistance 3 at $21.
Disclaimer: The insights, perspectives, and data presented in this price analysis are published in good faith. Readers must conduct their own research due diligence. Any decision made by the reader is solely their responsibility, and Crypto Outlooks shall not be held responsible for any consequential or incidental harm or loss.
