AVAX price rose more than 50% and was trading above the $40 level. The Avalanche is currently correcting its uptrend, but bulls may remain active near the $32 support zone.
- AVAX prices have risen above the $30 and $40 levels against the US dollar.
- The price is trading above $30 and the 100 simple moving average (4-hours).
- On the 4-hours chart of the AVAX/USD pair, there is a major bullish trend line forming with support near $35.00 (data source from Kraken).
- The pair could continue to rise if it stays above the $35 and $30 support levels.
AVAX price corrected to fall
Over the past few days, Avalanche’s AVAX has increased significantly above the $25 resistance area. It is up more than 50% and has broken many hurdles near $30. It cleared the $40 level before the bear appeared.
Like Bitcoin and Ethereum, a new multi-month high was formed near $43.06 before the price began a downward correction. It fell 15% and the price was trading below the $38 level. The upward move from the $21.24 swing low to the $43.06 high moved below the 23.6% Fib retracement level.
AVAX price is still trading above $30 and the 100 simple moving average (4-hours). There is also a major bullish trend line forming with support near $35.00 on the 4-hours chart of AVAX/USD.
Source: AVAXUSD on TradingView.com
On the other hand, immediate resistance appears near $38.00. The next major resistance is forming near the $40.00 area. If there is upside beyond the $38.00 and $40.00 levels, the price could surge by more than 10%. If stated, the price could rise steadily towards the $45 level.
Limited dips on the Avalanche?
If the AVAX price fails to continue rising above the $38.00 or $40.00 level, it may continue to decline. Immediate support for the downside is near the trendline at $35.
Key support lies near the $32.00 area or the 50% Fib retracement level of the rise from the $21.24 swing low to the $43.06 high. A break below the $32.00 level could open the door for a major decline towards $18.80. The next major support is near the $26.50 level and the 100 simple moving average (4-hours).
technical indicators
4-Hour MACD – The MACD for AVAX/USD is gaining momentum in bearish territory.
4-Hour RSI (Relative Strength Index) – The RSI for AVAX/USD is now below the 50 level.
Key support levels – $35.00 and $32.00.
Key resistance levels – $38.00, $40.00, $45.00.
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