Falling Wedge on Avalanche (AVAX) Chart Signals Possible Upside to $60
- Avalanche (AVAX) has jumped nearly 40% over the past week, climbing from $19 to $26.84.
- Since early 2024, AVAX lost over 73% from its peak but shows signs of trend reversal near $27.56.
- Breaking above $27.56 could push AVAX to $33, $41.50, $50, and possibly $60.50, says analyst.
Avalanche (AVAX) has bounced back sharply from its lows in April, climbing almost 40% in just a week. The price jumped from around $19 to $26.84 on Monday, the highest level in the past three months. This recovery follows a drop to $14.66, which marked an 18-month low.
Since early 2024, AVAX had been stuck in a downward slope. It lost over 73% of its value from its peak in the last quarter of 2024. However, a shift is beginning to appear on the chart. A falling wedge patternformed by converging trendlines with lower highs and lower lowshas emerged. This setup usually hints at a possible trend change.
The price is now brushing up against the wedges upper boundary and facing key resistance at $27.56. If it moves past this level cleanly, analysts believe a fresh upward trend could start.
AVAX Break Above $27 Could Spark a Rally
One analyst, known as WHALES_CRYPTOzz, said that if AVAX breaks above $27.56, it could target $33 first, followed by $41.50, $50, and possibly $60.50. He pointed out that these targets match earlier consolidation zones and Fibonacci levels. The trading volume has also been rising between $27 and $34, hinting at strong interest in that range.
Support remains firm between $18.50 and $22.50. This zone was tested during Augusts fall and held up well. That stretch now forms the base of the wedge pattern. A blue arrow on the chart marks the bounce that triggered the latest move toward resistance.
The 50-day simple moving average is now serving as a support level. Avalanche is trading above this line, adding to the signs that momentum is on the rise. If AVAX can stay above the wedge after breaking out, the broader downtrend could be considered over.
AVAX Crucial Levels to Watch Now
CW, another market watcher, warned that theres a significant sell wall around the $27 mark. This barrier has already slowed the price down in recent days. If AVAX gets through, the next stop could be around $36, followed by another possible hurdle near $38.5.
Beyond that, more supply is expected between $42.5 and $46.5. On the flip side, if AVAX fails to break through the first resistance zone, it could fall back toward the previous breakout level near $20. Below that, a sell wall could provide some support.
The next few days may decide whether AVAX enters a new bullish phase or pulls back again. While falling wedge pattern and indicators favor upward movement, the resistance near $27.56 remains a strong barrier. A confirmed breakout could shift market sentiment quickly, while another rejection might mean more sideways or downward moves.
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Read more: https://www.tronweekly.com/avalanche-avax-charts-signals-upside-to-60/
Text source: TronWeekly
