Crypto: AVAX Shows Bullish Signs Despite Selling Pressure!
The crypto market is constantly evolving, and Avalanche (AVAX) is no exception. Recently, AVAX has shown promising bullish signs, but selling pressure continues to weigh on its price.
Crypto: bullish signs for Avalanche (AVAX) despite selling pressure!
Since August 6, 2024, Avalanche AVAX has been moving within an ascending channel, a technical indicator often interpreted as a bullish sign. This channel is characterized by an upper horizontal resistance line and a lower ascending support line, suggesting that buyers are gradually gaining strength. Additionally, the Moving Average Convergence Divergence (MACD) indicator for AVAX has recently crossed its signal line, another positive sign for crypto traders.
Despite these bullish indicators, AVAX faces continued selling pressure. The Relative Strength Index (RSI) for AVAX is currently at 39.53, well below the neutral level of 50, indicating that selling pressure still outweighs buying interest. Furthermore, the Chaikin Money Flow (CMF) remains negative, highlighting that buying pressure is not sufficient to counteract the selling activity.
Currently, AVAX is trading at around $20.66, marking a 5% increase from its closing price of $19.54 on August 5. If buying pressure continues to grow, AVAX could see its price exceed $28. However, if selling pressure persists, the price could fall back to its previous support level of $19.54.
Future outlook
The outlook for AVAX remains uncertain. Although the bullish signs are encouraging, persistent selling pressure could limit short-term upside potential. Investors need to closely monitor technical indicators and crypto market trends to make informed decisions.
Avalanche (AVAX) shows promising signs of recovery, but selling pressure continues to pose a challenge. Investors must remain vigilant and ready to react to crypto market fluctuations. The current situation offers both opportunities and risks, and it is crucial to stay informed to navigate this complex landscape.
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The world is evolving and adaptation is the best weapon to survive in this undulating universe. Originally a crypto community manager, I am interested in anything that is directly or indirectly related to blockchain and its derivatives. To share my experience and promote a field that I am passionate about, nothing is better than writing informative and relaxed articles.
The views, thoughts, and opinions expressed in this article belong solely to the author, and should not be taken as investment advice. Do your own research before taking any investment decisions.