Avalanche’s AVAX climbed 12% in the last 24 hours, with a 185% spike in daily trading volumes to nearly $400 million.
By Bhushan Akolkar
Updated
3 mins read
Avalanche’s native cryptocurrency AVAX $23.34 24h volatility: 9.6% Market cap: $9.68 B Vol. 24h: $373.04 M has shot up by a strong 12% in the last 24 hours, following a massive breakout on the technical chart, with a 185% increase in daily trading volumes, hitting nearly $400 million. Amid today’s avalanche price rally, the AVAX market cap has also peaked above $9.07 billion.
On-chain metrics show a bullish outlook for AVAX, with analysts expecting the rally to continue further. The long-short ratio for Avalanche (AVAX) reached the highest in over a month’s time.
After breaking above its descending trendline, the Avalanche price has shown strong signs of a recovery. Last week, AVAX rallied nearly 7% and continues to hold above $21.39 as of Monday, maintaining its 7% weekly gains. As a result, it has also managed to recover nearly 50% of its monthly losses.
Market analysts note that if AVAX sustains its upward trend and closes above its weekly resistance of $20.99, it could trigger a 17% rally toward the next major resistance at $24.99. A decisive close above this level might pave the way for an additional 20% gain, potentially driving the price to test the psychological milestone of $30.
Source: TradingView
Technical indicators further support the bullish sentiment. The daily Relative Strength Index (RSI) reads 53, moving upward above the neutral 50 mark, signaling positive momentum.
The Moving Average Convergence Divergence (MACD) indicator on the daily chart confirmed a bullish crossover last week, delivering buy signals and reinforcing the upward trajectory for AVAX.
As per the CoinGlass data, the AVAX long-short ratio has reached 1.18, hitting a one-month high. This ratio above 1 shows a bullish trend with traders willing to bet on future price action.
Source: CoinGlass
CoinGlass’s Open Interest (OI) Weighted Funding Rate data suggests a shift in trader sentiment toward optimism for Avalanche. This metric tracks the balance of traders betting on price movements and shows that the number of traders anticipating a price increase now exceeds those expecting a decline.
Over the past few days, AVAX’s funding rate rose from -0.0065% on Friday to 0.0051% on Monday. This positive funding rate indicates that long positions are paying short positions. The trend highlights growing upward pressure on AVAX’s price, aligning with the broader technical indicators pointing to potential gains.
Source: CoinGlass
Top asset managers are also looking forward to bringing an Avalanche exchange-traded fund (ETF) to the market. Earlier this month, asset manager VanEck filed for an Avalanche ETF in Delaware court, signaling a future filing for a spot ETF.
Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
Bhushan is a FinTech enthusiast and holds a good flair in understanding financial markets. His interest in economics and finance draw his attention towards the new emerging Blockchain Technology and Cryptocurrency markets. He is continuously in a learning process and keeps himself motivated by sharing his acquired knowledge. In free time he reads thriller fictions novels and sometimes explore his culinary skills.
