Avalanche price analysis: AVAX finds support at $18, can the bulls defend the level?

TL;DR Breakdown

  • Avalanche price analysis suggests sideways movement below $20.00
  • The closest support level lies at $18.04
  • AVAX faces resistance at the $20.00 mark and further above at $22.32.

The Avalanche price analysis shows that AVAX has finally found support at the $18.00 mark, which has caused significant bearish pressure to subside. However, it is unlikely that the asset would show a sharp recovery since the trading activity remains low across the short term. 

The broader cryptocurrency market observed a bearish market sentiment over the last 24-hours as most major cryptocurrencies record negative price movements. Major players include BNB and ETH observing an 8.99 and an 8.04 percent decline, respectively.

Avalanche price analysis: AVAX finds support at $18.00

Avalanche price analysis: AVAX finds support at $18, can the bulls defend the level? 1
Technical indicators for AVAX/USDT by Tradingview

The MACD is currently bearish, as expressed in the red color of the histogram. Moreover, the indicator shows strong bearish momentum as observed in the high depth of the histogram. Furthermore, the indicator’s lighter shade suggests an increasing bearish momentum as the price action finds support around the $18.00 mark. 

The EMAs are currently trading below the mean position as net price movement over the last five days remains negative. However, as the AVAX market turned sharply bearish, the EMAs have started moving downwards, with the 12-EMA taking the lead. At press time, the 12-EMA is diverging sharply from the 26-EMA as selling activity increased in recent hours. 

The RSI was trading in the neutral zone since 30 May as the price volatility for Avalanche dwindled across the short-term charts. However, yesterday the indicator dived into the oversold region as. The indicator is currently moving upwards as the price action finds support at the $18.00 mark. However, strong bearish pressure still weighs on AVAX markets. 

The Bollinger Bands were narrow until June 10 but then exhibited sharp divergence as the price action observed sharp volatility. Currently, the indicator is still expanding to facilitate the sharp bearish activity. At press time, the lower limit provides support at the $18.02 mark while the mean line presents resistance at the $22.32 mark. 

Technical analyses for AVAX/USDT 

Overall, the 4-hour Avalanche price analysis issues a sell signal with 14 of the 26 major technical indicators supporting the bears. On the other hand, six of the indicators support the bulls showing a significant bullish presence in recent hours. At the same time, six indicators sit on the fence and support neither side of the market.

The 24-hour Avalanche price analysis shares this sentiment and also issues a sell signal with 16 indicators suggesting a downwards movement against only two indicators suggesting an upwards movement. The analysis reaffirms the bearish dominance across the mid-term charts while showing little to no buying pressure for the asset across the mid-term charts. Meanwhile, eight indicators remain neutral and do not issue any signals at press time.

What to expect from Avalanche price analysis?

Avalanche price analysis: AVAX finds support at $18, can the bulls defend the level? 2
4-hour price chart by Tradingview

The Avalanche price analysis shows that after being rejected at the $28.00 mark, the bulls were unable to generate momentum, and after struggling around the $24.00 mark for the next few days, the bearish momentum took over. However, the bulls find support at the $18.00 mark, and further downwards movement is unlikely in the short-term.

Traders can expect AVAX to observe sideways movement as the bearish pressure evaporates at the $18.00 support level. Furthermore, the selling activity is decreasing as trade volume dwindles. Traders should expect movement between the $18 and the $20.00 mark with room for further upwards movement.

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