Key Insights :
- Avalanche (AVAX) appears bullish and is about to break out of a bullish cup-and-handle pattern.
- AVAX price prediction for the coming days suggests the asset is poised for a massive upside rally.
- Following the bullish price action and shifts in market sentiment, 75% of Binance traders are going long.
Amid this bullish market sentiment, AVAX price prediction is a must-have topic for discussion to determine the asset’s next move. The asset’s price has climbed more than 22% amid shifting market sentiment.
This surge has propelled it to a significant resistance level of $23.50, reflecting renewed investor confidence. AVAX price has traded near $23.11 and has recorded a rise of over 6.50% in the past 24 hours.
During the same period, its trading volume jumped by 30%. This indicated heightened participation from traders and investors compared to previous days.
AVAX Price Action & Key Levels
According to expert technical analysis, AVAX price prediction appears bullish and is poised for a massive upside rally. The daily chart showed Avalanche forming a classic bullish cup-and-handle pattern.
This setup suggests the asset is nearing a potential breakout. However, the neckline of the bullish pattern is a common resistance area at $23.50. It has a strong history of price reversal.
If AVAX breaks past the $24.50 resistance and closes above it on the daily chart, the price outlook could turn bullish. This could trigger a 30% surge, potentially pushing Avalanche to the $31.80 level.
AVAX price prediction depends on the $23.50 level. If the price breaches this level, we can only expect upside momentum. Otherwise, history may repeat, and the price could reverse.
Bullish On-Chain Metrics
As the AVAX price approaches the critical resistance level of $23.50, interest from traders and investors has soared. IntoTheBlock and Coinglass, two on-chain analytics tools, revealed this.
Data from IntoTheBlock revealed that whale participation over the past 24 hours has skyrocketed by 190%. This indicated heightened interest and confidence in the asset. The on-chain data shows that whale transactions typically range from $1 million to $10 million.
Notably, transactions exceeding $10 million in AVAX have surged by 28.30% and 275%, highlighting increased large-scale investor activity. This shows strong confidence and belief in AVAX.
Coinglass’s on-chain data shows a notable shift in AVAX movement. Amid bullish sentiment, global exchanges have recorded a $4.69 million outflow in the last 24 hours. This trend reflects growing investor confidence and accumulation.
Such an outflow of assets during a trending market indicates a potential accumulation by long-term holders/retailers. This could create buying pressure and support the upcoming asset rally.
The bullish price action and positive market sentiment have drawn interest from whales and long-term holders. Traders are also getting involved as they align with this optimistic outlook.
At press time, the Binance AVAXUSDT long/short ratio has reached 2.98. This indicated strong bullish market sentiment among traders. Data further revealed that 74.86% of traders on Binance are betting on the long side, while 25.14% are on the short side.
Meanwhile, traders are currently over-leveraged at the $21.83 level on the lower side. There, they have built $16.88 million worth of long positions.
The $24.05 level is a highly leveraged zone, with traders accumulating $7.38 million in short positions. This concentration of shorts indicates a potential turning point for price action.
These on-chain metrics and traders’ positions reveal the market sentiment and traders’ interest, which appear bullish.