Avalanche Price Retreats And Encounters Resistance At $29

The price of Avalanche (AVAX) has resumed a positive trend by breaking above the 50-day SMA. However, the breakout was limited by the presence of doji candlesticks.

Last week, as reported by Coinidol.com, the altcoin traded between the 21-day SMA support and the 50-day SMA resistance level. In other words, AVAX has been trading in a narrow range of $26 to $30. 

Avalanche price long-term analysis: bullish

If the buyers maintain the bullish momentum above the 50-day SMA support, the altcoin will rally to its next resistance level of $34. 

However, if the altcoin falls below the 50-day SMA support, the current price range will continue. The price of the altcoin will continue to range between $26 and $30. Avalanche is currently worth $29.16.

Analysis of the Avalanche indicator

The price bars are slightly above the moving average lines, indicating that the altcoin is encountering resistance above the 50-day SMA support. An upside move above the 50-day SMA support is unlikely as the bears sell on every rally. The 21-day and 21-day SMAs are sloping downwards, indicating a decline.

Technical Indicators:

Major Resistance Levels – $60 and $70

Major Support Levels – $30 and $20

What is the next direction for Avalanche?

On the 4-hour chart, the cryptocurrency is moving higher above the moving average lines. The uptrend is meeting resistance at the $29 high. The altcoin is trading sideways between the $25 and $28 price levels. 

The cryptocurrency is falling as it encounters rejection at the $29 resistance. AVAX will continue to decline in line with the current situation of the coin.

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.