While most top altcoins advanced a bullish rally this week, Avax remains stalled under a key resistance level due to a slight rejection. It suspended buying to a small consolidation phase and now gathering momentum.
Avax ended last week bullishly after pushing through a lot of resistance to reclaim $40. However, due to multiple rejections over the past few days, it slowed down buying pressure and entered a small consolidation stage since the start of the week.
Looking at the setup, it is most likely to advance bullish as soon as it finds a strong close above the $41.85 resistance level, which has been suppressing buying pressure since last weekend. A rise in the demand level should facilitate a surge through this resistance.
Another thing to consider for more gains lies in Bitcoin’s price movement – once it cools off buying, we can expect money to flow into major altcoins to break higher for a bigger move.
As a matter of fact, Avax appeared poised for another bullish impulse. Once it manages to flip through its recent local high, we can expect a huge rally to the upside. Such a move should set Avax up for a massive bull run.
The only condition for a bearish move lies in a strong rejection, and that could trigger a reversal if it fails to break through its recent high. Right now, Avax is under the bulls’ radar.
Avax Key Level To Watch
Source: Tradingview
https://www.tradingview.com/x/BJwzI6xK/
An increase above the holding $41.85 resistance level could propel buying to $43.5, and $46. A break above the $50 level should confirm a bullish continuation from a long-term perspective.
In case of a drop, the immediate support level to consider for pullbacks is $37.6, then followed by $33.7. If all these supports fail to produce a bounce, the $31.5 level would be the next support to keep in mind.
Key Resistance Levels: $41.85, $46, $50
Key Support Levels: $37.6, $33.7, $31.5
- Spot Price: $41.4
- Trend: Bullish
- Volatility: High
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
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