• AVAX price is in the process of forming a bullish chart pattern, suggesting a new record high for the token.
  • If Avalanche manages to slice above $123, a 41% rally would then be on the radar.
  • AVAX bulls are eyeing their next target at $174.

AVAX price is currently forming a bullish chart pattern that could set a new record high for Avalanche at $174. The token must overcome a series of challenges ahead, including the toughest hurdle at $123, in order for the optimistic outlook to be validated. 

AVAX price awaits 41% ascent

AVAX price is producing an inverse head-and-shoulders pattern on the 12-hour chart, suggesting a massively bullish forecast for the token. 

However, investors should note that the optimistic target of a 41% rally toward $174 will only be on the radar if Avalanche manages to slice above the neckline of the governing technical pattern at $123.

AVAX price is in the process of forming the right shoulder of the prevailing chart pattern. An increase in buying pressure may see Avalanche reach the neckline, but not without tackling a few hurdles ahead first.

The first line of resistance for AVAX price is at the 50 twelve-hour Simple Moving Average (SMA) at $101, then at the 100 twelve-hour SMA at $105. The 61.8% Fibonacci retracement level will then act as an additional obstacle for Avalanche at $106. 

Before approaching the neckline of the inverse head-and-shoulders pattern, AVAX price will also face a headwind at $115, where the 21 twelve-hour SMA and 78.6% Fibonacci retracement level intersect. 

AVAXUSDT

AVAX/USDT 12-hour chart

AVAX price will face another challenge at the neckline of the governing technical pattern at $123, coinciding with the resistance line given by the Momentum Reversal Indicator (MRI) before the 41% rally is put on the radar. 

However, if selling pressure increases, AVAX price will discover immediate support at the 50% retracement level at $100. The following lines of defense are at the 38.2% Fibonacci retracement level at $94, then at the 23.6% Fibonacci retracement level at $87, coinciding with the 200 twelve-hour SMA and support line given by the MRI.

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Cryptos feed Join Telegram

Recommended content


Recommended Content

Editors’ Picks

Can Solana price enter a 50% relief rally?

Can Solana price enter a 50% relief rally?

Solana price is in the beginnings of a quick recovery rally that could propel it back to levels that were last seen nearly two weeks ago. Two technicals back the claim for why SOL could be ready for this ascent.

More Solana News

Ethereum Price Prediction: ETH will sweep the lows at $1,500

Ethereum Price Prediction: ETH will sweep the lows at $1,500

Ethereum price displays reasons to believe in a ‘sweep the lows’ event in the coming days. Traders should approach the smart contract blockchain with caution.

More Ethereum News

Assessing the possibility of a 40% upswing for Cardano

Assessing the possibility of a 40% upswing for Cardano

Cardano price is in a spot favorable for the bulls and short-term traders as a rally might be in the works. A minor retracement will allow interested buyers an opportunity to accumulate ADA at a discount before catalyzing an explosive uptrend.

More Cardano News

Bitcoin Weekly Forecast: The last rebound before capitulation

Bitcoin Weekly Forecast: The last rebound before capitulation

Bitcoin price is showing bullish signs in the lower time frames, which can be taken advantage of by traders in the next couple of days. But looking at BTC from the highier time frames suggests that the bottom is not in yet.

More Bitcoin News

Bitcoin: The last rebound before capitulation

Bitcoin: The last rebound before capitulation

Bitcoin is showing bullish signs in the lower time frames, which can be taken advantage of by traders in the next couple of days. But looking at BTC from the higher time frames suggests that the bottom is not in yet.

Read full analysis

BTC

ETH

XRP