- Market sentiment turned bullish, which can play a crucial factor in AVAX’s bull rally.
Fear and greed index revealed that the market was in a “greed” phase.
As an analyst with over a decade of experience in the crypto market, I’ve seen my fair share of bull rallies and bear markets. The current situation with Avalanche [AVAX] is reminding me quite vividly of 2023, a year that saw many altcoins, including AVAX, surge to new highs.
In recent hours, Avalanche (AVAX) joined the market’s bullish trend, showing a significant increase. Comparing this surge to AVAX’s performance in 2023, things appear quite optimistic. So, let’s delve into its current situation and see what’s happening.
Avalanche is pumping
CoinMarketCap’s data revealed that AVAX witnessed a 4% price surge during the last seven days.
Indeed, in the past day, bullish activity has intensified significantly, driving the token’s value up by more than 6%. As I write this, Avalanche is being traded at $21.91 and boasts a market capitalization exceeding $8.8 billion, positioning it as the 12th largest cryptocurrency in terms of size.
In late 2023, there was a significant increase in the price of AVAX. According to a recent tweet by IntoTheBlock, the token’s value jumped from $9 to $44 within a span of only two months.
In 2024, the price of AVAX significantly depended on the overall market trends. If there was an upswing of positive feelings, AVAX could potentially reach its significant resistance level around $30. Conversely, a pessimistic shift in the market might lead to a drop in its value, bringing it down near the $16 mark.
To gauge public opinion about the market, AMBCrypto examined data provided by Santiment. Based on our findings, the weighted sentiment towards AVAX experienced a significant rise on the 19th of August, indicating that optimistic feelings toward the token grew substantially.
The social buzz around it mirrored the same pattern, suggesting an increase in AVAX‘s prominence within the cryptocurrency world.
Will AVAX’s bull rally continue?
According to AMBCrypto’s findings, the trading volume of AVAX saw a 20% surge, coinciding with a surge in its price that suggests a bullish trend. This increase in trading activity serves as a solid base for a potential bull market.
Currently, when I’m typing this, the fear and greed index for AVAX is showing “greed.” This suggests that when such a reading occurs, there’s often a higher likelihood of a price adjustment or correction.
So, AMBCrypto examined Avalanche’s daily graph to see if technical signals suggested a surge towards $30. By analyzing the Bollinger Bands, it was found that AVAX had managed to break above its 20-day Simple Moving Average (SMA).
Based on the recent surge in the Chaikin Money Flow and the bullish crossover observed in the Moving Average Convergence Divergence (MACD), it appears that the price of AVAX could potentially increase towards $30 in the near future.
However, the Money Flow Index (MFI) turned bearish as it moved southwards.
Is your portfolio green? Check the Avalanche Profit Calculator
Even though the market signals suggested optimism, AMBCrypto predicted that a significant amount of AVAX could be sold off when its value hits approximately $22.1. Such an increase in sell-offs usually leads to price adjustments.
If AVAX trends downward, it’s possible that investors could see the token falling to around $20.4 in the immediate future.
Read More
- Top gainers and losers
- DOP PREDICTION. DOP cryptocurrency
- LDO PREDICTION. LDO cryptocurrency
- Gold Rate Forecast
- MOCHI PREDICTION. MOCHI cryptocurrency
- LRC PREDICTION. LRC cryptocurrency
- XETA PREDICTION. XETA cryptocurrency
- WRLD PREDICTION. WRLD cryptocurrency
- NOM PREDICTION. NOM cryptocurrency
- PIXEL PREDICTION. PIXEL cryptocurrency
2024-08-20 20:08