The Avalanche cryptocurrency is currently on the verge of breaking through a significant resistance level, an event that could notably influence the profits of AVAX holders. Despite the optimistic scenario, past patterns hint at a cautious outlook, raising speculation on whether the gains for investors are imminent or if patience is required.
Avalanche’s Price Momentum
At present, the Avalanche price stands at $47, witnessing a 10.6% increase in the past 24 hours and surpassing the $44 resistance mark earlier. The forthcoming challenge for this cryptocurrency is the $50 mark, which represents not just a psychological milestone but also a critical technical juncture.
Over 300,000 AVAX holders have been eagerly anticipating this breakthrough since December 2023. Approximately 9.16 million AVAX, valued over $436 million and purchased at an average of $53, will turn profitable once the $50 resistance transforms into support. This shift is expected to not only benefit the holders directly but also positively affect Avalanche’s market value as investors are likely to refrain from selling in the short term. Technical analyses further suggest a bullish trend for Avalanche.
Avalanche Price Forecast
Market sentiment and technical indicators, including the Relative Strength Index (RSI) and the Moving Average Convergence Divergence (MACD), support the likelihood of Avalanche surpassing the $50 mark. The RSI, currently in a bullish zone below the overbought level, and a bullish crossover observed in the MACD for the first time in four months, signal potential for a price rally.
Should Avalanche successfully breach and maintain the $50 level as support, it could pave the way for further gains, potentially exceeding the $53 threshold. Conversely, failure to sustain this break could lead to a price correction, with Avalanche potentially falling back to the $44 level, challenging the optimistic forecast.
