The crypto markets are juggling within a small range, unable to rise above the resistance while defending the support during every bearish attack. Besides, the volume of the token has been slashed heavily, due to which cryptos like Avalanche have become less volatile. In times when more squeeze is expected, the AVAX price is expected to trigger a strong breakout that could elevate the levels beyond the current consolidation.
Avalanche is among the tokens, which are believed to outperform the top 2 tokens in the upcoming price action as they are considered to be heavily undervalued at the current price. Mainly because no major change in the price was recorded even after the launch of Avalanche 9000, which is considered the largest-ever upgrade of the platform. However, the price was heading towards the yearly highs ahead of the launch but the token followed the market trend and plunged by over 30%.
The token’s inefficiency to rise above $40 over the past week could have raised some concerns over the next price action. However, in the wider perspective, the AVAX price remains primed for a 50% upswing, but if the bulls manage to revive a 12% rise before the end of 2024,.
The daily chart of the AVAX price may suggest the token could be heading towards the immediate lower support as it is on the verge of losing the 0.5 FIB at $36.26. The MACD indicates a drop in the selling pressure but it is yet to be flipped to a buying range. On the other hand, the bears continue to hold a major dominance as seen in the bull-bear power, indicating another pullback of around 10% could be in place, probably reaching the interim support at 0.382 FIB at $32.2.
These levels have been offering strong support previously and hence a strong rebound could be expected at these levels. However, the market sentiments have not yet turned bullish as the traders continue to remain neutral. Therefore, the Avalanche price is expected to maintain a sluggish trend until the platform receives enough volume favouring the bulls.
AVAX is usually referred to as the sleeping giant, as it is believed to have huge potential and is defending the support to a large extent. However, the market volatility has slashed hard and until the BTC dominance reaches highs, altcoins like Avalanche are expected to maintain a sluggish trend. However, the AVAX price still has the potential to rise above $50 and head towards a higher target, but rising and sustaining above $42 by the end of the year in the first few days if 2025 is very important.
