The Avalanche (AVAX) price is on the rise nowadays, rising approximately 16% to just over $50 at the time of writing. This brings AVAX within striking reach of its December 2023 yearly high of approximately $48.30. AVAX’s bullish price action is explained by key technical indicators. The relative strength index (RSI) is overbought, suggesting a short-term pullback, but the daily RSI still has room to rise.
The moving average convergence divergence (MACD) indicator is bullish, with the MACD line above the signal line, suggesting the uptrend could persist. The 200-day simple moving average for AVAX is around $25, indicating a long-term bullish trend. The 200-day simple moving average remains below the current price.
AVAX on the Rise: What’s Next for This Crypto Gem
AVAX, with a market cap of over $18 billion, is attempting to break through resistance around the $50 level, aligning with the 1.618 Fibonacci extension level. A breakout above $50 could lead to a run towards the next Fibonacci extension at $55. Traders are also monitoring $45.72 as a strong support level, which coincides with the 0.786 Fibonacci retracement of the current uptrend.
The technical picture looks constructive for AVAX in the near term, but overbought RSI readings suggest consolidation or a minor pullback before the next potential leg higher.
Release: The purpose of this content is only to provide knowledge. Readers have to do their own research before making investment decisions.
