AVAX went below $18.48, indicating potential further movement towards lower support levels at $15.31, $13.44, and $10.98.
Reversal is yet to be confirmed; purchase interest can only appear with an intensifying support reaction.
Resistance begins at $22.77, with major hurdles between $26 and $32; a breakout above $54-$60 would change the trend for good.
Avalanche (AVAX) closed the day below the $18.48 support level, suggesting a potential extension of its downward move.The crypto asset, currently trading at around $17.90 with a loss of 3.3% in the previous 24 hours, has displayed mounting signs of fatigue after a line of collapsed re-tests of resistance levels higher.
As price action pushes against key support zones, analysts are now eyeing the lower zones at $15.31, $13.44, and $10.98 for potential buying interest or a trend reversal.
AVAX Breakdown Signals Bearish Momentum
The breakdown below $18.48 is a major technical development. This level has served as a short-term support level previously, and its breakdown could suggest bearish momentum is in charge. In the event of further downtrend, the next major areas of interest are $15.31 and $13.44.
These levels meet previous areas of accumulation, where the buyers could intervene. Even a further fall to the $10.98 level cannot be ruled out if these supports at intermediate levels fail to hold.Price action at these levels should be watched closely by traders, as any sign of reversal — bullish candlestick formations or rise in volume — may indicate a mood shift.
AVAX Recovery Hinges on Breaking Resistance
In order for a recovery to occur, the first level of resistance is $22.77. This has been rejected in recent sessions and would need to be recaptured first before any effective recovery can occur. Beyond that, AVAX does possess a cluster zone of resistance between $26.84 and $32.87. These are previous highs and Fibonacci retracement levels that will tend to cap upside momentum unless decisively broken.
The more important breakout area is between $54.07 and $60.73. A price break through there would represent a more general trend change, but such an occurrence appears distant unless accompanied by more powerful market-wide sentiment or underlying activity within the Avalanche ecosystem.
AVAX Faces Pressure to Hold Key Supports
Key players are also wary of the prevailing macro and technical environment. Although the overall prevailing sentiment in the crypto markets seems to be neutral or bearish, the performance of Avalanche seems to hinge on its capacity to maintain the supports and regain the resistance areas using volume indicators. Up until now, the short term trend looks to remain bearish, and the possibility of a long term reversion to trend only opens up when the lower supports can sustain themselves.
The post AVAX Slides Below $18.48: Support Levels at Risk as Bearish Momentum Builds appears on Coin Futura. Visit our website to read more interesting articles about cryptocurrency, blockchain technology, and digital assets.
