Avalanche (AVAX): Breaking Through This Level May Shift Shorter Timeframe Bias to Bullish

An anonymous cryptocurrency analyst tweeted that losing 90% of your favorite cryptocurrency does not prevent it from losing another 90%.

 Indeed, investors should be skeptical of Twitter posts, particularly those from anonymous users. This narrative, however, occurred during in the 2018 market crash and may occur again during this cycle. Avalanche is one of the tokens experiencing massive price drops. Since the beginning of May, AVAX has fallen by approximately 76%.

Surprisingly, the alternate solution token has nothing to prevent it from losing another 40%. Meanwhile, technical support floors under $14.6 are $9.7, followed by $5.1. As Bitcoin falls below $20,000, Avalanche remains vulnerable to further declines.

MORE ARTICLES:

Alphaprime Finance Review – Is Alphaprime Finance a Scam or a Legitimate Business?

Tag Heuer, a Swiss watchmaker, is getting ready to accept cryptocurrency as a payment method.

Thailand suspends the operational license of Huobi Exchange.

AVAX Timeframe of One Day

At $14.67, Avalanche has long-term horizontal footholds, followed by $9.69. Meanwhile, the previous support level of $23.22 held for about a month before being breached by increased selling pressure. Surprisingly, even on shorter timeframes, the alt lacked a bullish outlook. AVAX encountered near-term resistance at the value levels of $20 and $18.8.

Late in March, Avalanche began its downward trend. Meanwhile, the token reached highs of $103.2 after rallying from a support floor of $66.6. In April and May, the markets were dominated by sellers, and Avalanche has lost about 84% of its value since the early April sessions.

A significant increase above $28 is required for Avalanche to change its long-term outlook to bullish. That would also imply keeping the $23 mark as support. Meanwhile, a move above $18.9 could shift Avalanche's shorter-term bias to the positive.

Reasoning

The daily Relative Strength Index was hovering around 30.2, indicating extreme bearishness. For the past two months, the indicator has failed to rise above 40. Furthermore, there was no bullish divergence. Furthermore, the on-balance volume lost a key market that it had held since February.

The falling OBV highlighted increased selling quantity, and the downside could continue unless the OBV rises significantly. Furthermore, the Chaikin Money Flow has remained below -0.05 since April, with only a few forays into the zero zone. This confirmed that a lot of money was leaving the market.

Last Thought

Avalanche indicators confirmed the ongoing selling pressure and bearish strength. The altcoin has yet to show signs of a comeback to $20 or higher. Furthermore, bears dominated market structure. As a result, a session closing below $14.6 may present a shorting opportunity. Moving towards 20, plus a hidden bearish divergence, may also provide shorting opportunities.

CHECK OUT:  https://www.mlmlegit.com/2022/06/scandinavian-capital-markets-review.html


Orizu24

239 Blog Beiträge

Kommentare
Desmond 31 w

👍

 
 
Godstime Kenneth 37 w

Interesting

 
 
Ayodele Samuel 45 w

Wow

 
 
Aishat Adeosun 1 y

Nice one

 
 
Anthony Cletus 1 y

😒😒

 
 
Adetuga Richard 2 Jahre

Interesting

 
 
Chukwuemeka Obiora 2 Jahre

Nice

 
 
Abiola Issa Mukaila 2 Jahre

👍👍

 
 
Adesokan Damola 2 Jahre

Nice one

 
 
Umar Bah ahmad 2 Jahre

Ooww