Avalanche (AVAX) took a sharp turn as it decreases to the bottom of the main trend line for 4 hours, indicating a potential transformation in the momentum that contains traders at maximum alert. What seemed to be a fixed climb that has suddenly stumbled, raising concerns about more negative pressure of the encryption origin if buyers fail to regain control.
Failure to restore may lead to its lowest level
In his speech mailTradinggain pointed out that “the collapse of the collapse indicates a shift in momentum from ascending to landing,” which represents a pivotal moment of the original. The price fell below the main trend line on the graph for 4 hours, which had previously provided strong support during the last upward trend. This breach indicates that the pressure pressure began to exceed the bullish momentum.
He also pointed out that Avax is “re -testing the broken direction line”. This stage is crucial, as it is often determined whether the collapse will be confirmed or nullified. If the bulls can pay the price back above this level, there may be a chance to apostasy.
However, the failure to restore the trend line may open the door to correct the deeper or less of $ 21 or less. “This enhances the need for traders to watch the price movement closely in the upcoming sessions, especially around the re -test area, as it can be the main step next to the ice collapse.
The momentum fades with the weakening of RSI
Tradinggain also pointed out that the state of the declining transformation is that the RSI Index (RSI) is a scourge of weakness. The version management conference index has decreased steadily, which enhances the idea that momentum tends to be in favor of bears. This adds another layer of emphasis on the last direction line break, indicating that the upward path may lose steam.
He stressed the importance of closely monitoring the procedure between $ 22.8 to $ 23.0, which is a previous support area that is now working as a possible resistance level. If AVAX fails to restore this area and face rejection, the declining narration may enhance and open the door for more negative movement. Currently, traders should remain careful and monitor how the market interacts around this decisive area.
In his closing statements, the analyst urged merchants to stay on alert and avoid rushing in trading. He stressed the importance of allowing the market to reveal its direction before making any decisive moves, especially with the presence of an ice breakdown at a major level.
At the time of writing this report, Avalanche changes at a price of about $ 23.74, which increases the price by 6.61 % over the past 24 hours. The upscale step is accompanied by 5.72 % in the trading volume, indicating the presence of a new wave of market participation.
