A leading crypto asset Avalanche (AVAX) has experienced a significant rise recently and broke above the $30 levels. This revival follows a significant decline in which the price of AVAX fell nearly 40% from its December 2023 high of $50. The latest bounce raises questions about whether AVAX will experience a decline and what the future holds for the altcoin.
AVAX’s recent performance is indicative of resilience. After its peak in December, the altcoin experienced a rapid decline. The price had previously touched a low of $27.21 before bouncing back, strengthening a long-term horizontal support level that acted as a breakout point.
The weekly Relative Strength Index (RSI) indicates an uncertain reading for the Avalanche. Although the RSI is falling, it remains above the critical 50 level. This shows that the market trend is not strictly downward or upward.
Avalanche Coin What to Expect?
Cryptocurrency analysts are closely monitoring Avalanche’s price movements and performance. Some are predicting that AVAX will reach as high as $50 or $100. Additionally, they expressed bullish forecasts, expecting significant gains in the upcoming bull run.
Technical analysis shows that AVAX is moving within a descending parallel channel typically associated with corrective moves. The recent bounce at the middle line of the channel and the 0.5 Fibonacci retracement level reinforces the idea that AVAX may be approaching a bottom.
Elliott Wave theory, used to determine long-term price formations, reinforces this idea by suggesting that AVAX is in wave C of its ABC corrective structure.
In conclusion, Avalanche’s recent price action above $30 brings optimism and caution. Investors and traders are closely watching AVAX for its trajectory in the coming days.