AVAX Price

Avalanche was ‘undervalued’ before posting 79% weekly gain: Analysts

AVAX surged while other tokens plunged, with analysts pegging its outperformance on being relatively undervalued while forging new partnerships with JPMorgan and Citi.

Avalanche (AVAX) appears to be one of the few major cryptocurrencies to buck the recent crypto decline, posting a phenomenal 79% weekly gain as others have declined.

Some analysts believe this is due to recent partnership announcements and a rise in trading volumes and total value locked, while others claim there’s been a shift in how altcoins are valued.

While Bitcoin (BTC) and Ether (ETH) saw a 6% nosedive on Dec. 11, AVAX gained 13.6% in the last 24 hours, per CoinGecko data.

Avalanche was ‘undervalued’ before posting 79% weekly gain — Analysts

AVAX surged while other tokens plunged, with analysts pegging its outperformance on being relatively undervalued while forging new partnerships with JPMorgan and Citi.

Avalanche (AVAX) appears to be one of the few major cryptocurrencies to buck the recent crypto decline, posting a phenomenal 79% weekly gain as others have declined.

Some analysts believe this is due to recent partnership announcements and a rise in trading volumes and total value locked, while others claim there’s been a shift in how altcoins are valued.

While Bitcoin (BTC) and Ether (ETH) saw a 6% nosedive on Dec. 11, AVAX gained 13.6% in the last 24 hours, per CoinGecko data.

Avalanche ‘bull trap’ risks pushing AVAX price down by 30% in February

The price of AVAX has more than doubled in 2023 but a growing divergence between several key metrics hints at a bearish reversal ahead.

Avalanche (AVAX) bulls should brace themselves for impact led by a growing divergence between severalkey indicators on the daily-timeframe chart.

AVAX price chart paints bearish divergence

The daily AVAX chart shows a classic bearish divergence between its price and relative strength index (RSI), a momentum oscillator forming since Jan. 11.

In other words, the price of AVAX has been making higher highs since the said date. But, on the other hand, the coin’s daily RSI has been forming lower highs. This divergence suggest a slowdown in the momentum of the AVAX/USD pair, which may lead to a price reversal.

*AVAX/USD daily price chart. Source: TradingView*

In addition, the declining volumes during the course of AVAX’s ongoing uptrend also hints at the same bearish cues.

The price-RSI and price-volume divergences appear as AVAX price continues its 2023 uptrend . Notably, Avalanche has rallied by more than 100% year-to-date to $22.50 as of Feb. 2, helped by improving risk-on sentiments and news of its partnership with Amazon.

On Jan. 31, Avalanche partnered with Intain, a structured finance platform that facilitates more than $5.5B in assets across more than 25 deals to run its digital marketplace IntainMARKETS via IntainMARKETS Subnet.

The price of AVAX rallied nearly 20% after the announcement.

Avalanche price risks drop 30% in February

AVAX’s price has successfully closed above two key resistance levels: a multi-month descending trendline (blacked) and its 200-day exponential moving average (200-day EMA; the blue wave) during the ongoing rally.

Avalanche now eyes a breakout above $22.75, which has been serving as resistance since August 2022, for a potential breakout to $30 as its next upside target. This level also coincides with the falling wedge breakout target discussed in this analysis.

In other words, an approximately 30% gain from the current price levels.

Conversely, a pullback from the resistance level, fueled by the bearish divergence indicators discussed above, could send AVAX price toward its 50-day EMA (the red wave) at approximately $15-$16, down about 30% from current prices.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

Avalanche ‘bull trap’ risks pushing AVAX price down by 30% in February

The price of AVAX has more than doubled in 2023, but a growing divergence between several key metrics hints at a bearish reversal ahead.

Avalanche (AVAX) bulls should brace themselves for impact led by a growing divergence between several key indicators on the daily-timeframe chart.

AVAX price chart paints bearish divergence

The daily AVAX chart shows a classic bearish divergence between its price and relative strength index (RSI), a momentum oscillator forming since Jan. 11.

In other words, the price of AVAX has been making higher highs since the said date. But, on the other hand, the coin’s daily RSI has been forming lower highs. This divergence suggests a slowdown in the momentum of the AVAX/USD pair, which may lead to a price reversal.

In addition, the declining volumes during the course of AVAX’s ongoing uptrend also hint at the same bearish cues.

The price-RSI and price-volume divergences appear as AVAX price continues its 2023 uptrend. Notably, Avalanche has rallied by more than 100% year-to-date to $22.50 as of Feb. 2, helped by improving risk-on sentiments and news of its partnership with Amazon.

On Jan. 31, Avalanche partnered with Intain, a structured finance platform that facilitates more than $5.5 billion in assets across more than 25 deals to run its digital marketplace IntainMARKETS via IntainMARKETS Subnet.

The price of AVAX rallied nearly 20% after the announcement.

AVAX’s price risks drop 30% in February

In other words, an approximately 30% gain from the current price levels.

Conversely, a pullback from the resistance level, fueled by the bearish divergence indicators discussed above, could send AVAX’s price toward its 50-day EMA (the red wave) at approximately $15–$16, down about 30% from current prices.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

3 reasons why Avalanche (AVAX) price can double by March 2023

The latest AVAX price rally comes on the heels of Avalanche’s partnership with Amazon Web Services as the cryptocurrency market rebounds.

Avalanche (AVAX) has opened 2023 with a bang, rising nearly 55% in the first two weeks. And now, a mix of technical and fundamental indicators hints that the token will keep rallying into March.

AVAX price breakout underway

The AVAX/USD pair appears to have been forming a falling wedge pattern since May 2022 and has now entered the breakout stage of this pattern.

A falling wedge forms when the price trends lower inside a range defined by two converging, descending trendlines. The pattern resolves as the price breaks out of its range to the upside. As a rule of technical analysis, the price can rise as high as the distance between its upper and lower trendlines.

*AVAX/USD daily price chart featuring falling wedge setup. Source: TradingView*

Applying the theory on AVAX’s falling wedge pattern brings the token’s breakout target at around $34, a 115% increase from current price levels.

Avalanche’s Amazon partnership

AVAX’s bullish setup appears as Ava Labs — the developer of the Avalanche network — becomes an official blockchain solution provider to Amazon Web Services (AWS).

Notably, the firm will implement new features that make it easier for developers to run an Avalanche node through the AWS Marketplace. Additionally, developers can create Avalanche subnets with a few clicks.

The partnership will increase Avalanche’s utility among enterprises and governments in a perfect scenario which, in turn, could boost demand for AVAX tokens. These prospects have helped the Avalanche token rise nearly 30% in a 24-hour adjusted timeframe.

$AVAX

Amazon partnership should get us this pump. Are you ready ? pic.twitter.com/6fCBZ6rbXo

— Crypto Bull ( Until 5th Sep 2025 ) (@holdersignals) January 11, 2023

Macro boosts bullish scenario

AVAX’s bullish falling wedge setup emerges amid improving macroeconomic fundamentals for riskier assets, which may benefit the crypto market in the coming months.

According to a Bloomberg survey, economists are positioned for a drop in the United States Consumer Price Index (CPI). Ideally, declining inflation may prompt the Federal Reserve to stop its interest rate hikes, which leaves investors with excess cash to invest in riskier markets.

The next CPI report will come out on Jan. 12. JPMorgan & Chase sees a 20% probability of the S&P 500 index rising by 3–3.5% if the December inflation figure comes in at 6.4%. The index could rise 1.5–2% if the inflation reading comes inside the 6.4–6.5% range, a scenario with a 65% possibility.

*JPMorgan’s game plan on CPI day. Source: Bloomberg*

Thus, AVAX/USD could rise alongside the U.S. benchmark index on a lowered inflation reading, with a rally continuing at least until the Fed’s meeting on Jan. 31.

Downside risks remain

Meanwhile, AVAX shows signs of indecision near $15.75, a strong resistance level supported during the June to November 2022 session.

If the price fails to close above the said resistance line decisively, the likelihood of a correction toward its next support line near $10.50 increases. The same level was instrumental as support in June to July 2021 session, as shown below.

*AVAX/USD three-day price chart. Source: TradingView*

In other words, AVAX risks a 35% drop from its current price levels, a move that could invalidate the falling wedge setup altogether.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

AVAX price rebounds 15% after Crypto Leaks sell-off, but Avalanche could still bury bulls

AVAX’s recovery aligns with similar upside moves across the top-ranking crypto assets.

Avalanche (AVAX) bulls snubbed the sensational claims made by a self-proclaimed whistleblower website that the project’s parent firm, Ava Labs, paid lawyers to damage its competitors’ reputation.

Avalanche price recovers from serious allegations

AVAX’s price established an intraday high of $19.75 on Aug. 30, two days after bottoming out locally at $17.50, amounting to a 15% rise. The token’s modest recovery followed selloffs incurred by a sensational CryptoLeaks report.

️ #Avalanche is the top rising topic in #crypto following a claim that its #blockchain was attempting to manipulate regulatory systems. After hitting a 7-week low about 9 hours ago, $AVAX is up +7.5% since. We're watching how news of this unfolds. https://t.co/Ry1mGvdMap https://t.co/OHmNMkpAzS pic.twitter.com/kk3zue4d3G

— Santiment (@santimentfeed) August 29, 2022

AVAX’s price fell 3.5% on Aug. 26, the day on which CryptoLeaks released an unverified video showing Kyle Roche, the partner at Roche Freedman, saying that he could sue Solana, one of Avalanche’s top rivals, on behalf of Ava Labs.

The token fell by another 7.5% the next day after the whistleblower website released the full report, including another unverified video featuring Roche.

In addition, Avalanche’s intraday losses aligned with similar negative moves across other top crypto assets.

AVAX can rise 55%

Avalanche’s fundamentals are strongly tied to the overall cryptocurrency market, which keeps it prone to undergoing additional downtrends.

Independent analyst PostyXBT noted that AVAX’s price could decline to the $13-$15 range next and to “keep BTC in mind” while placing a short position toward the area.

$AVAX

Textbook short set up forming.

Only concern being deviation caused by $BTC running higher towards $20.8k.

Manage position size accordingly and keep btc in mind when setting invalidation levels pic.twitter.com/8wRgZxkOcv

— Posty (@PostyXBT) August 30, 2022

Analyst BrechTP also anticipates the price to crash toward $14 based on a “head and shoulder” setup, as shown below.

AVAX/USD four-hour price chart. Source: BrechTP

Conversely, analyst TraderSZ sees AVAX’s price tcontinue its recovery trend in the coming days. His setup, as illustrated below, envisions the Avalanche token to reach approximately $30 in September.

*AVAX/USDT two-hour price chart. Source: TraderSZ/TradingView*

The upside target aligns with AVAX’s prevailing “symmetrical triangle” setup. Notably, the price has rebounded after testing the triangle’s lower trendline as support and now sees the structure’s upper trendline as its interim upside target.

The upper trendline is near the TraderSZ’s price target of $30, as shown below.

*AVAX/USD weekly price chart. Source: TradingView*

In other words, AVAX could rally by over 55% from its current price levels.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.