On two attempts, Avalanche’s recovery halted under a crucial resistance after the dropped from $20.5. While it maintained a sideway trend for weeks, it just signaled a bullish from its lower range level.
Avalanche’s price failed to increase above the crucial $13.9 resistance level for almost three weeks now. The price is still trapped in a range. It continued to trend sideways around the lower range since the price fell from the higher range of $15.97 on November 10.
It has formed a nice head-and-shoulder (H&S) pattern, which indicates a potential bullish on the 4 hours chart. The price just broke the neckline slightly to the crucial resistance mentioned earlier, but it dropped briefly to a trading price of $13.6.
This H&S pattern will likely produce more gains if buying volume increases. However, it could become invalid if the price rolls back to the lower range level of $12. Such a scenario could cause a catastrophic drop in price if this level fails to hold.
As of now, the price is up by 6.6% over the past week. It is ranked the 18th best-performing cryptocurrency with a market cap of $4.23 billion as per CoinMarketCap data.
Avalanche Price Analysis (AVAXUSDT): 4-Hour Chart
As the $13.88 resistance level stands solidly as a breakout level, the closest resistance level to watch is $14.66 before we can see an increase toward the upper range level. If the price surges above this level, AVAX could recover up to $17.46 before the price drops.
On the other hand, if the price invalidates the H&S pattern, there’s support at $13 and $12 along the way down. The $11.44 support remains an important level for a breakdown. A steep fall below this range could cause a serious price fall to $11. It could last to the psychological level of $10 if the selling pressure continues.
Key Resistance Levels: $13.88, $14.66, $15.97
Key Support Levels: $12, $11, $10
- Spot Price: $13.6
- Trend: Neutral-Bearish
- Volatility: Low
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any projects.
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