AVAX is on the way to its positive trajectory and experiencing a surge in its price with the overall market. Now, the market has shifted from bearish to bullish after several weeks of volatility. AVAX is showing a bullish pennant pattern on its price chart, which often precedes to a bullish reversal. If a successful breakout occurs then it will lead to a higher resistance zone around $19.79.
At the time of writing, AVAX is trading at $17.97 with a 24 hu trading at with a 24 hour trading volume of $143.5 million and a market capitalization of $7.58 billion. The AVAX price over the last 24 hours is up by 4.07%, and over the last week it is also up by 6.84% and showing high potential for the next major rally.
AVAX eyes breakout and poised to break $19.79
Avalanche (AVAX) is showing signs of a potential breakout as it forms a bullish pennant pattern, even amid a broader bearish trend in the crypto market. This technical configuration, with its intersecting trendlines following a small bounce. It indicates, the buyers are set to consolidate and then push the price upwards. Since the overall trend in the market is bearish, the pattern of AVAX is suggesting a point of strength that can end the downtrend.
What makes the configuration particularly interesting here is the fact that it comes against the backdrop of the widespread selling pressure all over the altcoin market. Bull pennants generally are bull confirmations, and the fact that AVAX is printing such a configuration while bearish conditions prevail can be a sign of relative strength. If the buyers can gather the strength needed for a break through the pennant, the token can see a big move towards the upside over the near term.
Traders are closely monitoring the level of $17.64 for a tactical entry, with the stop-loss at $17.21 for risk control purposes. Should the bull case become real, the target price stands at $19.79, offering a reasonable risk-to-reward ratio. Since no pattern can guarantee the achievement of success, the current technical level presents an intriguing setup for traders searching to trade AVAX with precision and timing.
