Avalanche (AVAX) is a blockchain platform that competes with Ethereum for the smart contract market. It claims to have faster and more scalable transactions than Ethereum, up to 6,500 per second.
Avalanche achieves this by having a different architecture than Bitcoin and Ethereum. Instead of having one blockchain, Avalanche has three: the X-Chain, C-Chain, and P-Chain. Each chain has a specific function and does not require all nodes to validate transactions.
The AVAX price is currently trading at $12.69 with an incline of 1.69% in the past 24 hours. Avalanche holds a total market cap of $4.39 Billion and ranks 19th in the crypto market.
AVAX token has a trading volume of $125.2 Million with a rise of 14.05% over the past 24 hours. It has over 346.35 Million tokens in circulating supply. The volume-to-market cap ratio of the Avalanche token is 2.86% which indicates low volatility in the market.
AVAX Price Prediction Using Price Action Strategy
AVAX token has been corrected after a 30% rise in June 2023 from the lower demand zone. The price has been falling since July 2023, facing multiple rejections from a trendline resistance. However, the price is showing some neutral candles, indicating a loss of strength in the correction.
The price dropped by more than 3% in the last week and over 18% in the last three months, confirming the continuation of the correction phase. Also, the low volume of the coin further shows the weakness in the stock.
The price is approaching a lower demand zone, where it may find some buyers’ support and bounce back to the upper trendline.
Avalanche Price Forecast from Indicators’ point of view
The Avalanche price faced resistance from the 200 EMA showing the sellers’ strength at the higher levels. Also, the price failed to stay above the 50 EMA, which indicates short-term selling pressure in the market.
At the time of writing, the RSI value of the Avalanche token is 43.85 and that of the SMA line is 41.63. RSI is falling after being rejected by the SMA line, which signals a bearish trend in the market.
MACD lines have made a bearish crossover. Also, Histogram bars are forming below the zero line with increasing size, indicating the sellers’ dominance in the market.
Conclusion
AVAX price prediction concludes that the token has been in a downward correction since June 2023, after a 30% increase from the lower demand zone. The price faced resistance from a trendline and showed neutral candles. Also, the price dropped by more than 18% in three months and has low volume. Currently, the price is near a lower demand zone from where it may bounce back to the upper trendline.
Technical Levels
- Support levels: $11.78 and $10.46.
- Resistance levels: $14.87 and $16.52.
