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Avalanche Price Prediction: AVAX primed for gains as altcoin nails its 37% measured move target

  • Avalanche price has soared 10% after nailing its measured move target of 37%.
  • AVAX could rise 5% to 10% to complete a mean reversal, supported by multiple buy signals.
  • The bullish thesis will be invalidated upon a candlestick close below $29.24.  

Avalanche (AVAX) price, like most altcoins, is showing strength following the fourth Bitcoin (BTC) halving. The landmark event, which has inspired positive market sentiment, has capital spilling over into other cryptocurrencies, including AVAX.

Also Read: Avalanche price might need to drop 5% to 10% before AVAX bulls eye retest of $80

Avalanche primed for 6% to 10% gains

Avalanche price nailed its 37% measured target following their formation of a Head-and-Should (H&S) chart pattern between mid-February and April 10. With bulls defending the $33.30 support after bottoming out at $29.24, AVAX price could rise 6% to 10% as part of a full-swing mean reversal.

Multiple technical indicators seem to align, starting with the Relative Strength Index (RSI), climbing to show rising momentum. Its crossover above the yellow band of its signal line is in itself a buy signal, reinforced by the one about to happen on the Moving Average Convergence Divergence (MACD).

Traders heeding this call to buy AVAX could see the buying pressure send Avalanche price above the 50% Fibonacci placeholder of $40.03, marking the midline of the market range measured from $50.81 to $29.24, when buying pressure and selling pressure climaxed respectively. The gains could top out after a 10% run to around $42.74 followed by a brief consolidation and retest of the $40.03 mean level.

If the 50% Fibonacci placeholder holds as support, it could provide the jumping-off point for the Avalanche price to reclaim the peak of the range at $50.81. This would constitute a 30% climb above current levels.

The Awesome Oscillator is also showing rising buying pressure as its histograms maintain a successive series of green bars edging towards the mean line.

AVAX/USDT 1-day chart

Conversely, if early profit booking sets in after 10% gains made over the day, the AVAX price could retract. A break and close below $20.34 would produce a lower low, invalidating the bullish thesis. 

Author

Lockridge Okoth

Lockridge is a believer in the transformative power of crypto and the blockchain industry.

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