Altcoins
A 70% rise could begin soon
Volatility in the markets varies widely as major cryptocurrencies fluctuate vigorously. Amid growing speculation that BTC and ETH will form a new ATH in the coming weeks, altcoins have been gaining strength. Among them is Avalanche, which managed to rack up over 16% weekly gains and suffered a slight 3% pullback, likely due to bull exhaustion.
The price was stuck in a diagonal resistance line, which had been maintaining a downtrend for quite a long time. The latest price action caused the price to break out of the range, which was accompanied by high volume, reinforcing the bullish narrative. Furthermore, market sentiments have become extremely bullish ahead of the approval of the Ethereum spot ETF. THE AVAX Price has reached the consolidation peak and hence a bullish surge is expected to trigger a 40% rally soon.
The 4-hour chart of AVAX price shows that the price has reached local highs and hence may be prone to a slight pullback. This could cause Ethereum’s competitor to enter the parallel channel it broke just days before. The RSI is also testing the ascending trendline and the DMI is closer to a downtrend as the ADX is also about to show a bearish divergence.
Given the above scenario, Avalanche price could either rebound before reaching the lower support or, as noted earlier, slip below $37 and initiate further upside just before the day’s close. However, in either case, the bulls are expected to trigger a strong rebound after the bearish consolidation ends, which could cause a 40% rally to $60 by trading in an accumulated range.