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President Donald Trump’s 90-day pause on new tariffs eased macroeconomic tensions, providing relief to risk assets. Bitcoin [BTC] jumped 7% in the past 24 hours, and Avalanche [AVAX] surged by 10.3%, signaling a short-term recovery. But is this the beginning of a long-term reversal for AVAX?
Avalanche’s 1-day price chart reveals that while the broader bearish trend remains intact, the downward momentum has significantly slowed. After hitting a low of $14.66 earlier this week—below March’s $15.27 trough—AVAX appears to be consolidating between $15 and $17, potentially forming a key demand zone.
Technical indicators provide further insights. The fixed range volume profile, plotted from the November rally, highlights $15.4 and $39.3 as the range’s boundaries. The Point of Control (PoC) at $18.7 now stands as immediate resistance, a critical level for bulls to reclaim in order to shift momentum.
Market analysts suggest that the $15–$17 zone is crucial. A sustained breakdown below $14.5 could trigger another leg down. However, if bulls continue defending this range, Avalanche could enter a phase of accumulation—a potential precursor to a bullish reversal.
Adding weight to this theory is the liquidation data from Coinglass. The 30-day liquidation map shows long positions being squeezed more than shorts, with high-leverage liquidation levels at $18.18, $17.76, and $16.74. These zones could serve as short-term liquidity targets before a rebound.
Looking ahead, the price clusters at $19 and $20 serve as key resistance areas and possible reversal points if AVAX manages to rally past $18.24. As Bitcoin leads the broader market recovery, Avalanche’s consolidation between $15 and $23 could signal the formation of a long-term bottom—provided macro conditions and sentiment remain favorable.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
Also Read: Grayscale Pushes for Spot Avalanche ETF Amid Rising Demand
I’m a crypto enthusiast with a background in finance. I’m fascinated by the potential of crypto to disrupt traditional financial systems. I’m always on the lookout for new and innovative projects in the space. I believe that crypto has the potential to create a more equitable and inclusive financial system.
