Crypto analyst David predicts that a deep correction has begun in AVAX price. Analyst Aaryamann Shrivastava expects a sharp decline in the APT price due to the unlock effect. We have compiled the price predictions of these 2 altcoins, which analysts include in the baskets of Turkish cryptocurrency investors, for our readers.
AVAX price prediction: Altcoin is starting a deep correction!
Avalanche (AVAX) crashed after reaching a yearly high of $50 on December 24, 2023. This high was slightly below the long-term resistance zone at $54. The altcoin price dropped significantly during the week of December 25-31, 2023, forming a bearish engulfing formation (red ellipse). This is a bearish pattern that typically appears at the end of an uptrend.
Indeed, AVAX price formed a large bearish candle with a long upper wick last week, confirming the end of the previous uptrend. Thus, it signaled a deep correction. Meanwhile, the weekly RSI (Relative Strength Index) has fallen below 70 and is sloping downwards. This shows that the bulls have lost control. Therefore, AVAX price may continue correcting towards the $22-24 zone formed by the previous horizontal resistance zone and the 0.618 Fibonacci retracement level. This level corresponds to a 34.57% decline from the current altcoin price.
The most likely scenario shows that AVAX price will continue to correct in the near future. The nearest target for the altcoin is $31. Moreover, another decline to $22-24 is possible. This bearish view will be invalidated if the price retraces the 20-day EMA and rises above the recent high of $43.42.
APT price prediction: A sharp decline is on the way after unlocking!
Aptos unlock event
Aptos will release more than 24.84 million APT tokens on January 12. The unlock, worth approximately $220 million, represents approximately 8.04% of Aptos’ entire circulating supply. Token unlocks are generally considered a bearish event as the market witnesses an increase in the supply of an asset. With an increase in supply and stagnant demand, the value of the asset decreases. This usually causes the altcoin price to drop.
It’s possible Aptos could face a similar outcome. Because this is the second major token unlock in a month. The last one occurred on December 12, when a similar amount of APT entered the market. As the crypto market took off, demand met the increase in supply and APT rose more than 16% in one day. But the same will not happen this time, as the upcoming spot Bitcoin ETF approval will redirect the flow of funds towards BTC and away from altcoins, especially small-cap crypto assets.
APT price will drop by another 20%!
The price of Aptos decreased by 11% on a weekly basis. Thus, it fell to $8.37 at the time of writing. This correction caused APT to lose support from the 50-day Exponential Moving Average (EMA). If the above-mentioned factors fit the bearish thesis, the altcoin price will likely drop to test the $7.86 support, which is aligned with the 100-day EMA as well as the 38.2% Fibonacci Retracement from $12.61 to $4.92. However, losing this support will cause further decline. In this case, APT will tag the $6.73 support, indicating another 20% correction.
However, if APT manages to bounce back from the $7.86 support, it may have a chance to reclaim the 50-day EMA. This would push the altcoin price beyond $8.77, invalidating the bearish thesis.
The opinions and predictions in the article belong to the analysts and are not investment advice. cryptokoin.com We strongly recommend that you do your own research before investing.
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