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- 1 Despite positive gains in the past 6 and 3 months, last week and month reversed it by a sharp decline in price, dropping by -15.84% and -30.41%.
- 2 Volume spikes and declines have also been observed, reflecting changing interest and activity levels in the market.
The price of Avalanche cryptocurrency has been increasing since October 2023, and it has seen a significant rise from $9.0 to $65.0 by March 18th, 2024. Avalanche has had a very positive six-month and three-month period, with gains of 316.03% and 4.58%, respectively. However, in the last week and month, there has been a decline in the price by -15.84% and -30.41% respectively, indicating a strong downtrend.
However, Avalanche crypto has revealed a massive slump in price in the last couple of sessions, and the price shows struggling signs of bulls, and bearish dominance is extremely high. Contingent on seller’s pressure, the massive drop could shatter more support and could target $35.0 and $28.0 support on the daily chart.
The price of Avalanche appears to be decreasing lately, following a sharp bearish pattern, as it broke below both the 20-day and 50-day EMAs’ dynamic supports. It suggests that based on the extent of selling pressure, there is a substantial likelihood of experiencing further drops.
Furthermore, the Avalanche crypto asset could accelerate this ongoing bearish trend if the price slips more of its ground support, and coincidingly, the MACD has started to decline abruptly from the zero line, which is at -2.15 and has cut the signal line sharply from above.
Meanwhile, the RSI is at 32.70 and has moved lower after beating the 14-SMA from above like a falling knife; a push from the bear side could accelerate more deterioration.
AVAX Price Forecast On Daily Chart
At the time of publishing, the Avalanche crypto is at $38.63 and shows an intraday decline of -1.83%.
Therefore, if the Avalanche crypto fails to maintain the $35.0 price level, the price could show a spectacular drop. However, if the price shows a resurgence, the price could break out upside and reach $50.0 and $55.0.
Avalanche Volume Analysis Against price
Upon close examination of the chart, it can be discerned that March 19th, 2024, witnessed an unusual spike in volume. It is suggestive of heightened interest and activity in the Avalanche crypto market, which in turn has resulted in an upward movement in the price. Notably, in the earlier sessions, the volume had previously surpassed $3.4 billion.
On March 20th, 2024, there was a noticeable decline in the trading volume of Avalanche activity. This decrease in demand and excitement about the AVAX price continued over time. By the second week of April, the trading volume had fallen from $3.4 Billion to just $400 Million on the chart.
Avalanche Assets’s Social Dominance Study
The trend in social dominance metrics for AVAX, which includes Twitter Avalanche news(X news), Twitter followers(X), and social volume (including active users of Telegram and Twitter), is negative. Additionally, there has been a significant decrease in active users and Twitter chatter. Based on these metrics, it can be inferred that the popularity of AVAX is declining.
The increasing number of tweets mentioning Avalanche highlights its declining growth and shows that it has not been among the trending tokens in recent times.
Summary
The Avalanche cryptocurrency has experienced significant price fluctuations since October 2023, rising from $9.0 to $65.0 by March 18th, 2024. Despite positive gains over the past six and three months, recent downturns have led to a sharp decline in price by -15.84% and -30.41% over the last week and month, indicating a strong downtrend. Technical indicators suggest further drops may be imminent, with support levels at $35.0 and $28.0 on the daily chart.
Volume spikes and declines have also been observed, reflecting changing interest and activity levels in the market. Additionally, social dominance metrics for AVAX, such as Twitter engagement and active users, have shown a negative trend, suggesting declining popularity for the cryptocurrency.
Technical Levels
Support Levels: $35.0
Resistance Levels: $50.0
Disclaimer
In this article, the views, and opinions stated by the author, or any people named are for informational purposes only, and they don’t establish the investment, financial, or any other advice. Trading or investing in cryptocurrency assets comes with a risk of financial loss.
Steve Anderson is an Australian crypto enthusiast. He is a specialist in management and trading for over 5 years. Steve has worked as a crypto trader, he loves learning about decentralisation, understanding the true potential of the blockchain.
