Avalanche

<p><i>Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion.</i></p>
<ul>
 <li><em>AVAX has extremely strong bullish momentum and sparked debate about being overextended</em></li>
 <li><em>Breach of the $30-zone was critical for long-term investors</em></li>
</ul>
<p><a href="https://ambcrypto.com/search/avalanche" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="internal">Avalanche [AVAX]</a> has been one of the best-performing large-cap altcoins in December. In fact, it gained by just over 62% this month before the recent plunge to $32. The move past the long-term resistance and psychological round number at $30 was a sign of intent from the crypto’s buyers.</p>
<p>A recent AMBCrypto report noted that a significant portion of AVAX holders were <a href="https://ambcrypto.com/avalanche-is-avax-more-profitable-than-btc/" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="internal">in profit</a>. The market sentiment was also reported to be firmly bullish, a fact that remains true today.</p>
<h3 id="avalanche-bulls-late-to-the-party-got-punished-on-monday">Avalanche bulls late to the party got punished on Monday</h3>
<div id="attachment_358320" style="width: 100%" class="wp-caption aligncenter"><a href="https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-4-AVAX-price.png" data-wpel-link="internal" rel="noopener noreferrer nofollow"><img aria-describedby="caption-attachment-358320" decoding="async" class="wp-image-358320 size-full" src="https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-4-AVAX-price.png" alt="Avalanche rises above the $30 mark to set a near 20-month high" width="1940" height="1099" srcset="https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-4-AVAX-price.png 1940w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-4-AVAX-price-300x170.png 300w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-4-AVAX-price-1024x580.png 1024w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-4-AVAX-price-768x435.png 768w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-4-AVAX-price-1536x870.png 1536w" sizes="(max-width: 1940px) 100vw, 1940px"></a>
 <p id="caption-attachment-358320" class="wp-caption-text">Source: AVAX/USDT on TradingView</p>
</div>
<p>Technical analysis of the higher timeframe price charts of Avalanche highlighted that the token was extremely bullish. It has been in “up-only” mode since early November. There was some consolidation around the $20-mark towards the end of November, but December brought new highs.</p>
<p>In August 2022, AVAX set a monthly high of $30.89. The $28-$30 zone represented a strong resistance area as it had been where Avalanche consolidated a year ago, before falling steeply. Over the past few days, this supply zone was smashed to pieces as bullish strength appeared unstoppable.</p>
<p>The RSI was at 84 to signal the same and the On-Balance Volume swelled higher and higher to capture the high buying volume in recent weeks. The $41-$44 region is expected to act as resistance next. Meanwhile, it remains unclear if we would get a retracement to $30 or lower yet.</p>
<h4>A pocket of liquidity upward, will we see a sweep and reversal?</h4>
<p><a href="https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-4-AVAX-hyblock.png" data-wpel-link="internal" rel="noopener noreferrer nofollow"><img decoding="async" class="aligncenter wp-image-358319 size-full" src="https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-4-AVAX-hyblock.png" alt="Avalanche rises above the $30 mark to set a near 20-month high" width="1866" height="1027" srcset="https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-4-AVAX-hyblock.png 1866w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-4-AVAX-hyblock-300x165.png 300w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-4-AVAX-hyblock-1024x564.png 1024w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-4-AVAX-hyblock-768x423.png 768w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-4-AVAX-hyblock-1536x845.png 1536w" sizes="(max-width: 1866px) 100vw, 1866px"></a></p>
<p>Prices are attracted to liquidity. AMBCrypto’s analysis of the liquidation levels data from Hyblock highlighted the importance of the $34 and $38 territories. More specifically, the $34.2 and the $37.75-$38.3 regions are likely to be the next support and resistance areas of significance.</p>
<p style="text-align: center;">How much are <a href="https://ambcrypto.com/convert/100-avax-to-usd" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="internal">1, 10, or 100 AVAX worth</a> today?</p>
<p>A move north to trigger short liquidations before a reversal from $38 is possible. And yet, given buyer strength recently, it does not make sense to short the token based on the higher timeframe charts. Instead, swing traders can wait for a sizeable drop to $30 or lower before buying.</p>

AVAX’s price climbs above $30; could a new prediction be in play?

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