đˇď¸ đ˘ #AVAX has formed a double bottom pattern on the weekly chart and has now reached a critical resistance level (shown with the green line). This level represents an important threshold for the direction of the price movement. If $AVAX can break above this resistance with strong volume, according to Fibonacci levels, there is potential for upward price movement. The yellow lines indicate these key levels to watch.
đ Positive Indicators:
RSI (Relative Strength Index): Currently above the 50 level on the weekly timeframe, indicating that upward momentum may continue.
MACD (Moving Average Convergence Divergence): The MACD line has crossed above the signal line, showing positive divergence which supports a possible trend reversal.
Volume: Increased trading volume is observed near the resistance zone, signaling active buyers.
Fibonacci Retracement Levels: Following the double bottom formation, Fibonacci extension levels serve as important reference points for price movement.
â ď¸ Negative Indicators:
Stochastic Oscillator: Approaching overbought territory on the weekly timeframe, which may suggest a risk of short-term correction.
Moving Averages: The price has yet to close decisively above the 50-week moving average, which remains a critical support/resistance level to monitor.
OBV (On-Balance Volume): A strong volume confirmation for the trend has not fully materialized yet; volume support remains crucial.
â ď¸ This is not investment advice.
