Avalanche’s native token, AVAX, has been trending sideways at $9.50 due to intense selling pressure lately. While the price is trying to hold on to an important support area in the short term, it is observed that the upward momentum remains weak. The loss of value experienced in the last 24 hours shows that the market’s recovery efforts have not yet been successful.
Support Levels and Technical Outlook in the Short Term
AVAX fell below the ascending trend line and retreated to the $9.30–9.50 band. This move is considered short-term weakness in the recent market structure. The fact that the price tries to hold on here indicates that demand continues. For a strong upward move, the falling trend resistance will first need to be overcome; Otherwise, selling pressure may continue.
Wave Analysis and Medium Term Risk
Ace, one of the traders interested in Elliott Wave analysis, pointed out that AVAX had previously completed a five-wave rise and then entered a correction movement. According to the analysis, the downside pressure will be maintained as long as the price continues to trade below the $11.38 level. The levels of $ 8.27, $ 7.13 and $ 5.61 stand out as risky areas in the medium term.
Waiting Continues at Critical Levels
The most important range that will determine the direction of AVAX stands out as the $9.30 support and $10.20–11.38 resistance zone. In order to generate a buy signal, it will first need to rise above $10.20. Once this barrier is overcome, the possibility of a new recovery may come to the fore. Conversely, closes below $9.30 could open space towards $8.27 and lower, respectively.
Long Term Channel and Potential Recovery Scenario
According to the chart of technical analyst Celal Küçüker, AVAX has been moving in a wide falling channel for a long time. The price is currently trading near the bottom of the channel. If permanence is achieved here, the possibility of climbing to $ 14.98 and higher levels such as $ 36.60-50.84 over time with a gradual recovery is on the agenda. This structure resembles a classical accumulation-to-rise transition cycle.
Moves of Institutions and Notable Transactions in the Market
In addition to technical developments, corporate steps related to the Avalanche ecosystem may also be effective in pricing. Asset management company Grayscale recently launched the Avalanche staking ETF. This step indicates that institutional investors’ interest in AVAX is increasing. Additionally, in an on-chain transaction reported by Coinvo, an anonymous investor converted $50 million worth of USDT into just $36,000 worth of AVAX on Ethereum. The transaction in question was found remarkable in terms of liquidity and transaction management in the market.
In light of all these topics, the decisive levels of AVAX to be followed in the coming period are; There will be support at $9.30 and resistance range at $10.20–$11.38. Movements outside this band are important in determining the short and medium-term direction of the price.
