Disclaimer: The knowledge offered doesn’t represent monetary, funding, buying and selling, or different forms of recommendation and is solely the author’s opinion.
- AVAX stalled at key value zone, as lack of buying and selling quantity restricted its value motion.
- Market sentiment was closely bearish.
The dwindling volumes of Avalanche [AVAX] has brought on the altcoin’s value motion to stall at a key value degree. This got here after the bullish push off the $11 assist degree hit a significant hurdle on the $15.8 resistance degree. The worth rejection on the resistance degree maintained AVAX’s bearish market construction.
Learn Avalanche’s [AVAX] Worth Prediction 2023-24
In the meantime, Bitcoin [BTC] rallied strongly over the previous 24 hours to succeed in $30k earlier than retracing to commerce at $29.5k, as of press time.
Stalling value motion evidenced by contracting Bollinger Bands
Supply: AVAX/USDT on Buying and selling View
Whereas AVAX’s market construction has been largely bearish, bulls have unsuccessfully tried to rally. The worth reversal by bulls has been hampered by declining volumes which has led to decrease costs.
The 12-hour chart confirmed a tightening of the Bollinger Bands which hinted at a powerful upward/downward value transfer for AVAX. Nevertheless, neither consumers nor sellers appeared to have the higher hand with indicators flashing blended indicators.
Though the Relative Energy Index (RSI) remained underneath the impartial 50, the Shifting Common Convergence Divergence (MACD) posted a bullish crossover, albeit a weak one. A shining gentle for bulls was the Chaikin Cash Move (CMF) flipping optimistic with a studying of +0.05, highlighting rising capital inflows.
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With a earlier value report highlighting the opportunity of bulls rallying from the 61.8% Fib ($12.30) or 78.6% Fib ($11.29), these might be crucial value factors for consumers. Alternatively, sellers may keep the bearish downtrend with the $11 assist degree a near-term goal.
Quick-term market sentiment was closely bearish
Supply: Coinglass
The change lengthy/quick ratio on the four-hour timeframe leaned strongly in favor of sellers. Information from Coinglass confirmed that 56.5% of open contracts have been quick positions. This hinted at sellers primed to proceed AVAX’s bearish market construction for extra positive factors.
