Claim BonusAvalanche Price Analysis: Can $22 Support Halt AVAX Correction?
On July 18th, the Avalanche (AVAX) price gave a decisive breakout from the $22 resistance indicating the buyers are ready for another leg up. The ongoing retracement phase amid the falling BTC price retest the breached resistance. However, the traders should wait for a reversal sign at this potential support before entering a bullish trade.
Key points:
- The post-retest rally may surge AVAX price by 26.2%
- The $21.2 breakdown may offset the recent recovery
- The intraday trading volume in Avalanche coin is $518.2 Million, indicating a 16.4% fall.
Source- Tradingview
The AVAX/USDT pair recovery rally initiated when the price bounced back from the $13.79 low on July 19th. The run-up has reclaimed the $16 mark and quite recently the $22.1 resistance. On July 22nd, the altcoin marked a record high at $26.1 and reverted immediately, displaying long-wick rejection.
The current retracement could be caused by profit booking from short-term traders and has plunged the AVAX price by 15.3%. However, this retest phase accompanied by decreasing volume activity indicates the traders are better interested in long positions.
Furthermore, the AVAX price retests the breached resistance of $22.1, aligned with the 20-day EMA slope. This accentuates a high area of interest that could resume the revealing recovery rally.
Thus, a bounce back from $22 flipped support could drive the coin price 26.2% higher to hit the $28 mark.
While things look better on the buyers’ side, a daily candle closing below $21.2 would invalidate the bullish thesis and plunge the AVAX price back to the $16 mark.
Technical indicator
RSI indicator: the daily-RSI slope nosedived below the 20 SMA but still sustained above the midline, indicating the market sentiment is bullish. Bollinger band indicator: the coin price reverted from the indicator’s upper band suggests a normal retracement in a recovery rally. Furthermore, the midline approaching the price may replenish the bullish momentum to continue the bull run.
- Resistance levels: $28 and $32.2
- Support levels: $22 and $16
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Related Articles
- Crypto Market Continues to Plunge, Could 2026 Be the Worst Year?
- XRP News: Ripple Prime Adds Support for Hyperliquid, Providing Wall Street Access to DeFi
- Breaking: Bank of America (BofA) Reveals Holdings in This XRP ETF
- BlackRock Signal Further Downside for Bitcoin And Ethereum As It Moves $170M to Coinbase
- Just-In: Binance Buys Additional 1,315 BTC for SAFU Fund
- Pi Network Price Outlook as Bitcoin Faces a Strong Sell-Off Below $80k
- Bitcoin Price Prediction As US House Passes Government Funding Bill to End Shutdown
- Ondo Price Prediction as MetaMask Integrates 200+ Tokenized U.S. Stocks
- XRP Price Risks Slide to $1 Amid Slumping XRPL Metrics and Burn Rate
- Gold and Silver Prices Turn Parabolic in One Day: Will Bitcoin Mirror the Move?
- Cardano Price Prediction as the Planned CME’s ADA Futures Launch Nears
