Avalanche (AVAX) Price Teases Breakout: Momentum Could Drive More Upsides

10 July 2024

AVAX price is gaining pace above the $26.50 resistance. Avalanche could rise further if there is a clear move above the $27.75 resistance zone.

AVAX price is moving higher from the $24.70 support zone against the US dollar.
The price is trading above $26.50 and the 100-hourly simple moving average.
There was a break above a key bearish trend line with resistance at $26.50 on the hourly chart of the AVAX/USD pair (data source from Kraken).
The pair could continue to rise if it stays above the $26.00 and $25.50 support levels.

AVAX Price Aims Higher

After a steady decline, Avalanche’s AVAX found support near the $22.00 zone. A support base was formed above $22.00, and the price started a fresh increase, like Bitcoin and Ethereum.

The price gained over 7% and broke many hurdles near $25.00. There was a break above a key bearish trend line with resistance at $26.50 on the hourly chart of the AVAX/USD pair. It cleared the 76.4% Fib retracement level of the downward move from the $27.17 swing high to the $24.72 low.

The pair even cleared the $27.00 resistance to move into a positive zone. AVAX price is now trading above $26.50 and the 100-hourly simple moving average.

On the upside, an immediate resistance is near $27.75. The next major resistance is forming near the $28.70 zone or the 1.618 Fib extension level of the downward move from the $27.17 swing high to the $24.72 low. If there is an upside break above the $28.70 level, the price could accelerate higher. In the stated case, the price could rise steadily toward the $30.00 level or even $32.00.

Dips Supported in Avalanche?

If AVAX price fails to continue higher above the $27.75 or $28.70 levels, it could start a downside correction. Immediate support on the downside is near the $26.50 level.

The main support is near the $26.00 zone and the 100 simple moving average (4 hours). A downside break below the $26.00 level could open the doors for a drop toward $24.70. The next major support is near the $22.50 level.

Technical Indicators

Hourly MACD – The MACD for AVAX/USD is gaining momentum in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for AVAX/USD is now above the 50 level.

Major Support Levels – $26.50 and $26.00.

Major Resistance Levels – $27.75 and $27.70.

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