Avalanche (AVAX) Price Prediction: Can This Pattern Determine AVAX’s Rebound Potential?

Soon after touching its nearly two-year high in March 2024, Avalanche [AVAX] took a bearish trajectory and was on a downtrend. The altcoin’s

After a prolonged bearish spell, Avalanche [AVAX] finally managed to paint its daily chart green. The better news was that the token’s price was actually consolidating inside a pattern, which caused the price drop.

As reported by AMBCrypto’s analysis of IntoTheBlock’s data, long-term holders’ confidence in AVX was rising. This was the case as the number 0f addresses holding AVAX for over an year were rising, suggesting that investors were expecting AVAX to pump.

That actually might be true, as a bullish pattern appeared on the token’s chart. IntoTheBlock’s analysis revealed a bullish falling wedge pattern. The token’s price entered the pattern at the beginning of this year and since then has consolidated inside it.

The token’s price bounced off the lower trendline multiple times, while the upper trendline provided resistance to the token’s price. At the time of writing, AVAX’s price was trading below the upper trendline, suggesting that the breakout might be imminent.

A breakout from this pattern would confirm the bullish continuation and could propel AVAX’s price by 200%. The Fibonacci Extension levels also showed potential targets around the $300-$320 zone.

However, the Relative Strength Index (RSI) was in a neutral zone, which suggested that there was no momentum behind the recent bullish price action. A close above the upper Bollinger Band could invalidate this claim.

A bullish momentum indicator, the Moving Average Convergence Divergence (MACD), showed that the bulls were in control at the time of writing.

The above is the detailed content of Avalanche (AVAX) Price Prediction: Can This Pattern Determine AVAX’s Rebound Potential?. For more information, please follow other related articles on the PHP Chinese website!