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Why investors must keep AVAX price on their watchlists this week

  • Avalanche’s AVAX price could be setting up for a 50% rally.
  • AVAX price is showing bullish re-entrance on the volume indicator.
  • Invalidation of the bullish thesis is a breach below $21.25.

AVAX price displays newfound bullish momentum to start this week’s trading session as the bulls have printed a significant engulfing on the six-hour chart. 

AVAX price is poised for gains 

AVAX price currently trades at $27, an optimistic 10% above last week’s settling price. It has been mentioned in previous outlooks that Bitcoin price would need to find support above the $30,000 level for the crypto market to regain strength. On Monday, Bitcoin price trades at $31,500, which could be a subtle indication for long-term investors to begin a dollar-cost average approach to popular altcoins.

AVAX price shows bullish confluence on the Volume Profile as there seems to be a resurgence of bulls. If market conditions persist, several gaps established since the May 12 sell-off could begin getting filled. Ultimately, the $42 zone could be the final stop for swing trading capitalists.

tm/avax/6/6/22

AVAX/USDT 6-Hour Chart

Invalidation of the bullish thesis is a breach below the swing lows at $21.25. AVAX price should under no circumstances revisit these levels in the coming weeks. If the bears manage to accomplish said price action, a decline to $18 could occur, resulting in a 30% decrease from the current Avalanche price.

Author

Tony M.

Tony M.

FXStreet Contributor

Tony Montpeirous began investing in cryptocurrencies in 2017. His trading style incorporates Elliot Wave, Auction Market Theory, Fibonacci and price action as the cornerstone of his technical analysis.

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