AVAX Reflects No Sign of Stopping; Registers a New High!
Avalanche cryptocurrency had a negligible market presence for the entire first half of 2021. Ever since getting a revival shot in July 2021, it has turned out to be a missile drying the gravity of investors. With no signs of stopping, how far can this rally take AVAX? There is a 160% gap between the 200 Days Moving Area of AVAX compared to its recent high.
The sell-off on September 07 trapped many sentimental investors who considered the dip a fall and sold off their AVAX holdings. Something unexpected happened, and it took all of us in complete surprise. When even the most fundamentally stronger cryptocurrencies were falling, the AVAX token took a detour from $37.92 towards $66.88, making a gain of close to 100% on realized basis.
This buying sentiment has helped AVAX become the 16th largest cryptocurrency in terms of market capitalization, just short of Litecoin. But that is not even the beginning of the crazy facts; AVAX cryptocurrency has only a 30% circulating supply out of 720 million coins. Once all the coins hit the market, they will surely skyrocket to become the top five cryptocurrencies. At present, AVAX is worth USD 11 billion with just 30% liquidity. Absolute liquidity makes its market cap above USD 36 billion and takes AVAX above Polkadot, which has just a $ 33 billion market cap.
AVAX Price Analysis
AVAX faces a tougher resistance at $62 and is undergoing a profit booking session as of now.
Avalanche crypto has a consolidation-type support level ranging from $39 to $50. It has a strong resistance level of $62, which has become a level of knee-jerk reactions. Every time AVAX attempts to breach this level, we witness a sudden fall in valuation to the tune of 20%. But the selling never continues beyond three days, and AVAX once again restarts its upwards movement.
Moving average of 100 days is slowly moving upwards, but the 200 DMA will take at least 60 days to start moving towards the upside. If prices remain positive until then, we will be witnessing a fresh round of buying as per our AVAX price prediction. RSI is still trading in positive levels of above 60, with a subsequent rise in volumes.
Each of the last few days has marked a movement to the tune of 25 – 30% from lows to highs. Combining this price movement with the rise in volumes, it becomes evident that there is a storm upcoming in AVAX. Only the riders of this storm will be benefited from this price action.