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AVAX Targets 35% Rally – Key Factors Fueling Avalanche’s Momentum

Author: Content Editor
The native cryptocurrency of Avalanche, AVAX, has gained attention from developers and analysts due to recent developments and the broader market rally. The price of AVAX has increased by 35% in the past week, and market analysts believe it has the potential for further gains. The technical chart shows strong buying action and suggests a good buying opportunity for AVAX. Currently, AVAX is trading at $31.49 with a market cap of $12.82 billion and a trading volume of over $1.08 billion.

AVAX has broken through a significant resistance level of $30 and is now moving towards the next resistance point. The surge in price has also seen it surpass the 200-day moving average, indicating a shift in market sentiment from a downtrend to an uptrend. If AVAX closes above $32, there is a possibility of a 35% increase in the coming days, potentially reaching $42.5.

The long/short ratio for AVAX is at 1.40, indicating strong bullish sentiment among traders. There has also been a 13.6% increase in AVAX open interest in the past 24 hours, showing increased trader participation after the recent breakout. Some analysts believe that AVAX can surpass SOL in the long term if its price crosses $150.

Currently, the majority of top AVAX/USDT traders hold long positions, suggesting that bulls and whales are in control and setting the stage for an upside rally. Jason Yanowitz, co-founder of Blockworks, believes that AVAX could replicate its impressive 70X rally from 2021.

Other potential catalysts for AVAX include the recent buyback of 1.97 million AVAX tokens by the Avalanche Foundation, which can put upward pressure on the price. Additionally, the private market is expected to enter the crypto space, with firms reaching out to VCs and hedge funds for allocation and major new funds expected to be announced soon.

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