Bitcoin (BTC) is currently trading at $68,200, with most altcoins holding steady from the previous day. AVAX is priced at $37.7, having recently dipped below the $40 mark following BTC’s decline. What are the current price predictions for AVAX based on recent data, and what levels are investors expecting at this stage?
What Does the Data Show?
Avalanche (AVAX) saw a resurgence from $37, sparking optimism among investors for a potential recovery. However, Bitcoin’s recent downturn, triggered by new U.S. economic data, has complicated the outlook. Altcoins have suffered a 1-2% loss, and BTC has fallen below the $70,000 benchmark. AVAX’s price falling below the $39 resistance point suggests that the consolidation phase is ongoing.
Can Altcoins Recover?
In addition to Bitcoin’s decline, MACD data indicates waning investor interest in AVAX. High double-digit annual inflation rates make lower price levels more appealing for AVAX investors, further weakening interest in the current price range. Over the weekend, altcoins might see some movement, led by Ethereum (ETH). If the ETH/BTC pair stabilizes and leads to a decrease in BTC dominance, more capital could flow into altcoins.
AVAX Price Forecast
The $37-41 range is crucial for AVAX investor cost areas, with around 11.9 million AVAX, valued at approximately $409 million, gathered by investors. The significant size of these holdings makes it difficult for bulls, as many investors prefer to cash out with small gains. If AVAX surpasses this key area, it could signal bullish behavior, with investors aiming for higher peaks.
Should the anticipated scenario not unfold, AVAX could retreat to support at $31.5. The $39-31 range has been a sticking point for over a month, and this trend is likely to persist.
Key Takeaways for Investors
Investors can draw the following insights from the current AVAX market scenario:
- The $37-41 range is a critical zone for AVAX, with substantial investor holdings.
- Weak investor interest is reflected in MACD data and ongoing consolidation.
- Double-digit inflation makes lower levels more appealing.
- A potential rise targets $48-50, following breakthroughs at $42 and $45.
Conclusion
In summary, AVAX is stuck in a frustrating consolidation phase, with weak interest and a continually increasing circulating supply. The lack of sufficient new buyers amidst double-digit inflation raises concerns. If a rise does occur, the primary targets will be the $48-50 range after breaking through $42 and $45.
