Avalanche (AVAX) Breaks Key Resistance, Showing Strong Bullish Momentum
Avalanche’s AVAX token has broken free from a prolonged correction phase, showcasing significant upward momentum despite broader market volatility and geopolitical tensions.
The CoinDesk 20 Index (DLCS), which tracks major cryptocurrencies, has seen impressive gains, rising 4.12% from 1403.33 to 1461.17 in the last 48 hours, with the range spanning 95.56 points (6.97%) from a low of 1365.61 to the high of 1461.17. This broader market surge aligns with AVAX’s recent price action, which shows an accelerating bullish trend.
AVAX recently broke through a critical resistance level of $20.40, marking a clear breakout and signaling strong momentum. This comes in the wake of notable institutional activity within the Avalanche ecosystem, as indicated by CoinDesk Research’s technical analysis data.
Key Technical Developments:
- AVAX demonstrated impressive strength, surging from $18.87 to $20.89—a 10.7% gain.
- The price action clearly reflects a bullish trend, with higher lows establishing a strong support line near $19.50.
- Following a consolidation phase between $19.30 and $19.70 on April 20, AVAX experienced a breakout on April 21, with significant volume driving the price above $20.00.
- The last 48 hours show a marked acceleration in price action, highlighted by the formation of a bull flag pattern and a decisive breakout above $20.40. This signals the potential for further gains.
- The next critical resistance to monitor is at $20.90, with Fibonacci extension targets indicating that $21.50 is the next major objective.
- Within a 100-minute window, AVAX surged from $20.61 to $21.04, representing a 2.1% gain.
- A period of consolidation between $20.50 and $20.60 from 13:20-13:40 created a solid base before a powerful upward movement began.
- The breakout occurred at 14:40, with a massive volume spike (146,387 units), establishing a strong support level at $20.80.
- Between 14:44 and 14:48, multiple high-volume candles propelled the price above the key $21.00 psychological level, with the highest volume recorded at 14:47 (142,112 units).
- This breakout confirms the bullish pattern from the past 48 hours, with Fibonacci targets now pointing to $21.50 as the next significant level.
