Avalanche is trading at $23.69 after dipping 2.3% in 24 hours. Despite the dip, the network processes over 20 million daily transactions. Such high volume, accompanied by institutional demand, indicates a bullish future. Fundamental strength is maintained as short-term price action dips marginally.
The MACD maintains a bullish formation intact. A bullish histogram of 0.0988 confirms ongoing buying demand. The MACD line of 1.4151 remains north of the signal line of 1.3163. This arrangement supports additional upside, giving credence to technical optimism despite yesterday’s pullback.
The AVAX trades well above its 50-day SMA of $20.13, which shows strength. It is trading below its 7-day SMA of $24.58, which indicates short-term consolidation. Support at mid-level exists due to its 20-day SMA of $22.17. Its 200-day SMA lies next at $23.16, which creates an anchor.
Avalanche breakout above $25.5
AVAX recently broke out of a multi-month decline. Volume was associated with this breakout, which helps for confirmation of strength. That $25.5 resistance level converted to support, topping a double bottom formation. Technical analysts take this as a signal of a long-term reversal of trend.
Analysts highlighted the focus shifts to $32–$35 now. If bulls can keep steam, this zone is next in challenge. Volume indicators support this pullback. Increasing open interest and ETF narratives strengthen bulls. The structure still accommodates more advances in the short term.
AVAX reclaimed its 200-day moving average for the first time in months. Honeybear’s post shows similar breakouts that sparked big rallies. Each of the four past instances witnessed AVAX follow up with parabolic gains.
Liquidations heatmap shows targets at $26–$28
The Sandman heatmap shows heavy short liquidations from $26 to $28. The most crowded area peaks at $27.50. If AVAX breaks into this zone, aggressive short-covering can spark sharp upside. That is a pressure point the Bulls can target.
On the downside, lighter liquidations cluster at $22–$23.50. That lines up with recent support, suggesting strength below. Both techs are in agreement with pressure accumulating on top, as AVAX appears poised for a possible squeeze up. Momentum should decisively go north soon.
