The cryptocurrency market has hit a roadblock in the past week due to geopolitical tensions, causing a pullback in the valuations of top cryptocurrencies. Avalanche (AVAX), despite showing an ascending channel pattern in the 1D time frame, has been on a downward trend, disappointing investors with negative returns. The question now is whether AVAX has reached its peak or if it will make a strong comeback in the upcoming altcoin season.
AVAX Price Retests Its Support Trendline Of The Channel Pattern!
In the midst of increased market volatility, the Avalanche token has seen a decline of 3.24% in the past day and 8.74% over the past week. Looking at the longer-term perspective, it has dropped by approximately 11% in the past month and has a year-to-date return of -34.16%.
The Relative Strength Index (RSI) has been on a downtrend over the past day, signaling a rise in selling pressure in the crypto market. Additionally, the Simple Moving Average (SMA) indicator has been acting as a resistance for the AVAX price chart in the 1D time frame, painting a negative picture for the altcoin in the coming week.
Will Avalanche Price Record A New High This 2024?
In the event of a bullish trend reversal, the AVAX coin price could retest its resistance level of $31.50 this month. If the market continues to favor the bulls, we may see it heading towards its upper resistance level of $39.30 in the near future.
On the flip side, if market uncertainty persists, AVAX could retest its support trendline of $24.30. If bearish sentiment dominates the crypto space in Q4, the AVAX token could plummet towards its crucial low of $17.30.
If you’re curious about whether AVAX will reach the $50 mark by the end of the year, check out CoinPedia’s Avalanche (AVAX) Price Prediction for insights into the short-term and long-term price prospects.