|

Here’s what to do if you missed the recent AVAX price rally

  • AVAX price is likely to pull back after its 22% rally to the $25.83 support level, providing an opportunity for the next leg.
  • The retracement is key in determining if it investors should add more to their holdings or consider booking profits.
  • A daily candlestick close that flips the $25.83 level into a resistance barrier will invalidate the bullish thesis.

AVAX price shows no signs of stopping as it bounced off a stable support level on August 2 and triggered a massive run-up. This move seems to have reached an upper limit for now and is likely to pull back a little. 

AVAX price remains unfazed

AVAX price surged 32% between July 26 and July 30, creating a range, extending from $19.54 to $25.83. This massive move retraced to the range’s midpoint at $22.68 over the next two days, forming a base for the next leg-up.

Soon enough, AVAX price kick-started its next ascent to the first target at $28.17. As investors continue to book profits, the uptrend is likely to exhaust a little, leading to a potential retracement to $25.83.

If this move shows strength after a pullback and holds above the aforementioned level, investors can bid here and expect the next target at $30.25 to be tagged. In total, this move would constitute a 17% ascent and is likely where the upside is capped for AVAX price.

AVAX/USDT 1-day chart

AVAX/USDT 1-day chart

While the outlook for AVAX price is bullish, without a doubt, investors need to pay close attention to the upcoming pullback. A retest and hold of the $25.83 support level will be a positive development.

However, if AVAX price produces a daily candlestick close below the aforementioned level, flipping it into a resistance level, it will invalidate the bullish thesis and potentially trigger a deeper pullback to 23.93 or $22.68.

Author

Akash Girimath

Akash Girimath is a Mechanical Engineer interested in the chaos of the financial markets. Trying to make sense of this convoluted yet fascinating space, he switched his engineering job to become a crypto reporter and analyst.

More from Akash Girimath
Share:

Editor's Picks

Bitcoin Weekly Forecast: BTC retreats as macro headwinds grow
Bitcoin (BTC) remains under pressure, down over 4% this week and trading around $76,900 at the time of writing on Friday. Institutional demand shows signs of weakness as spot BTC Exchange Traded Funds (ETFs) are on track to end their three-week inflow streak, recording nearly $500 million in net outflows through Thursday.
XRP falls toward key support as macro uncertainty, weak momentum cap recovery
Ripple (XRP) falls below $1.33 on Friday, marking the third consecutive day of declines. The token continues to track the broader cryptocurrency market downturn, with investors closely monitoring heightened macroeconomic uncertainty ahead of the United States (US) Consumer Price Index (CPI) release and next week’s Federal Reserve (Fed) monetary policy decision.
Crypto Today: Bitcoin, Ethereum, XRP stabilize at lower levels amid ETF outflows and macroeconomic risks
The broader cryptocurrency market is rising on Friday, with Bitcoin (BTC) trading above $77,000 after testing lower support near $76,500. Ethereum (ETH) shows signs of stability, hovering above the support provided at $2,400 despite capped upside at $2,500. Meanwhile, Ripple (XRP) holds above $1.33 after three straight days of declines, reflecting growing headwinds due to macroeconomic uncertainty.
Bitcoin pulls back as another golden cross fails to deliver
Earlier this week, Bitcoin formed a golden cross, a technical signal that occurs when the price’s 50-day moving average rises above the 200-day moving average and is conventionally viewed as a precursor to a bullish rally. Historically, however, that’s often not been the case.
Bitcoin: BTC retreats as macro headwinds grow
Bitcoin (BTC) remains under pressure, down over 4% this week and trading around $76,900 at the time of writing on Friday. Institutional demand shows signs of weakness as spot BTC Exchange Traded Funds (ETFs) are on track to end their three-week inflow streak, recording nearly $500 million in net outflows through Thursday.
Here’s what to do if you missed the recent AVAX price rally