#AVAX✈️
AVAX (Avalanche) experienced a sharp decline after a brief rocket-like surge, where the price rose quickly and then faced significant profit-taking. Selling pressure increased due to the unlocking of tokens, which introduced additional supply into the market, amplifying the selling from whales and large traders.
Technically, the price broke the important "support line" within a descending channel on the charts — forming lower highs and lower lows, reflecting ongoing weakness in buying. The support level around $27-28 failed to hold, opening the door for further retracement towards lower levels in the channel like $23 or less.
Additionally, liquidity decreased due to lower activity within the Avalanche network compared to Layer-1 competitors like Arbitrum and Base.
In conclusion, what seemed like a rising "rocket" turned into a painful correction on the charts — it has become a matter of whether the price will find support at the bottom or continue to decline.
