Avalanche Enters Oversold Territory And Rises Above $21

The price of Avalanche (AVAX) has already fallen to a low of $21.88 on July 5. This price level has remained stable while the altcoin corrects upwards.

Long-term analysis of the Avalanche price: bearish

On the other hand, the price forecast suggests that the altcoin will fall but then reverse at the 1.272 Fibonacci extension or $20.59. Nonetheless, AVAX has been trading in a narrow range of $24 to $30 over the past week.

Today, the altcoin's price range has narrowed around $24 and the 21-day moving average line. The altcoin is expected to rise above the 50-day SMA or reach $30 if the bulls break through the 21-day SMA resistance. The cryptocurrency value may fall to its previous low of $21 if it is rejected at the 21-day SMA. Today, the altcoin's value stands at $26.

Analysis of the Avalanche indicators

The price bars are below the moving average lines, but the cryptocurrency price has repeatedly challenged and breached the 21-day SMA barrier. On the 4-hour chart, the altcoin is expected to rise as the price bars are above the moving average lines. The development of doji candlesticks is hampering the price movement.

Technical indicators:

Key resistance levels – $60 and $70

Key support levels – $30 and $20

What is the next direction for Avalanche?

On the 4-hour chart, the cryptocurrency is in a sideways trend, with prices between $25 and $28. Since July 6, the uptrend has been hindered by resistance at $27. Once the resistance level is broken, the altcoin will resume its uptrend. In the meantime, the altcoin remains within its current range.

In the previous analysis Coinidol.com wrote that 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.  

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.