Avalanche Enters The Oversold Region And Faces A Drop Above $20

The latest price analysis by Coinidol.com report, the price of Avalanche (AVAX) has recovered from its dip above the $8.50 support level.

Avalanche price long term analysis: bearish

On March 18, AVAX was pushed back from its recent high and fell to a low of $26. The decline has slowed above $24.50 on June 24. The altcoin is trading within a range of $24.50 and $30. Buyers have failed to sustain the price above the 21-day SMA. According to the price signal, AVAX will continue to fall. In the downward move on April 13, a candle body tested the 78.6% Fibonacci retracement level. The correction suggests that the altcoin will decline but will initiate a reversal at the 1.272 Fibonacci extension or $20.59.

Analysis of the Avalanche indicator

The price bars are below the moving average lines and the 21-day SMA has halted the uptrend. On the 4-hour chart, the price of the cryptocurrency is trapped between the moving average lines. If the price breaks above the moving average lines, the altcoin will resume its rise.

Technical indicators:

Key resistance levels – $60 and $70

Key support levels – $30 and $20

What is the next direction for Avalanche?

The price action on the 4-hour chart is confined to the $22 and $28 price areas. The moving average lines are rejecting AVAX. The altcoin is expected to fall further and reach previous lows of $22 and $20. The altcoin has reached the oversold area of the market.

Disclaimer. This analysis and forecast are the personal opinions of the author. They are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol.com. Readers should do their research before investing in funds.