Avalanche price preps for a devastating decline as bears aim for pain at $12.50
|- AVAX price displays severely bearish signals on the volume profile indicator.
- Avalanche price has printed the largest bearish engulfing candle within the trend.
- Invalidation of the bearish thesis is a breach at $56.
Avalanche price could be setting up an explosive move to the downside aiming for targets most investors would call impossible.
Avalanche price is severely suppressed
Avalanche price displays reasons to consider a significant macro sell-off underway. The AVAX price currently trades at $30, which is the settling price of the initial sell-off on May 9. The bulls failed to print any price action of bullish significance a week since the decline.
Avalanche price also displays a future mudslide in the cards on the volume profile indicator. The classic ramping pattern has been finalized with an enormous bearish volume spike. If market conditions persist, this signal could project the AVAX price to $12.50. Lastly, the May 9 sell-off is now the largest bearish candle within the downtrend, which further confounds the idea of future losses for Avalanche investors.
AVAX/USDT 4-Day Chart
Invalidation of the bearish idea is a breach above $56. If the bulls breach this level, then consider this thesis incorrect. The bulls could then aim for $100, resulting in a 250% increase from the current AVAX price.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.