Avax continued to post gains after recently bouncing off a key bottom. The market structure has shifted a bit over the past few days and is now looking set for a massive run as it gathers liquidity on the way up.
The past weeks have been remarkable in the entire crypto industry. Avax regained momentum after six months of swing lows, leading to a slight trend shift after rebounding off the $20 level earlier this month.
The price broke through a five-month descending channel along with a monthly resistance to reach its highest multi-week price level yesterday. Unfortunately, it has slowed down buying today due to a slight loss.
While the market bias is still positive on a weekly scale, it may resume buying shortly to close the month on a bullish note. If such a scenario comes into play, July’s high would be the next buying target to watch.
It’s been over a week since Avax broke out of its descending channel with no significant pullback. If the $30 level holds solidly as resistance, the price may pull back to retest the channel before resuming bullish. If not, more positive actions can be expected until it encounters resistance.
Avax’s Key Level To Watch
Source: Tradingview
Now that the trading landscape has changed slightly with a new bullish formation, Avax’s next target would be $33 (July’s high), followed by $37.2. The higher resistance level to watch for an increase would be $42.
Last month’s $28 high is the closest level of support to keep in mind in case of a drop. If this price level fails to produce a bounce, the lower support to consider for drops would be $24.5. The next one to watch is $20.5 – the monthly low.
Key Resistance Levels: $33, $37.2, $42
Key Support Levels: $28, $24.5, $20.5
- Spot Price: $29.5
- 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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