The alt market has seen gradual recoveries within the previous week as bulls amplified their strength. Avalanche secured a decisive closing beyond its exponential moving average ribbons on the 4hr chart. However, sellers have restricted the altcoin’s peaks as the 7-week trend-line resistance curbed buying rallies. A massive closing beneath the prevailing pattern might trigger a short-term decline in the upcoming days. While publishing this content, AVAX changed hands near $20.02.
Avalanche 4Hr Timeframe
Avalanche lost over 58% since May 23, diving towards ten-month lows on June 19. Buyers have defended the $15.95 mark while triggering two upward channel recoveries within the past few weeks. AVAX’s price has struggled to secure trend-altering rallies as sellers resurged around the trend-line resistance.
This hurdle has offered sellers rebounding opportunities for more than three weeks. Buyers dominate the near-term trend as the exponential moving average ribbons remained northbound. Nevertheless, the price actions have neared the trend-line resistance and the EMA200. So, potential reversals from $20 might lead to a pullback.
A decisive close beneath the upward channel might propel the alt to retest $19.1 in the upcoming sessions. A closing beneath this mark would only confirm the selling bias. Bulls need a massive break past $20 and the trend-line resistance to shift this narrative.
The RSI (Relative Strength Index) has supported the latest buying momentum surge as it maintained its spot beyond the midline. A continued move beyond the support at 56 might bolster buyers to prevent declines beneath the Exponential Moving Average ribbons.
The OBV (on-balance volume) also conformed to surged buying strength within the previous four days. However, the MACD (Moving Average Convergence Divergence) recorded a bearish cross and confirmed buying momentum ease. Maintaining the southbound tendencies beneath the zero level might halt potential buying comebacks.
Avalanche (AVAX) traded on thin ice during this publication. A decline beneath the pattern might trigger amplified selling. That would see the target remaining, as mentioned above. Nevertheless, a broad market outlook plus on-chain activities remain crucial to ensure profitable undertakings.