• AVAX price pushed new all-time highs, halted just short of the critical $100 level.
  • Ichimoku analysis and oscillators show AVAX is a little extended.
  • A pullback to equilibrium is expected to occur soon.

AVAX price has made substantial gains over the past two weeks. It took traders forty-five days of consolidation to eventually push AVAX above its prior all-time high of $74 to the new all-time high at $97. Just short of $100 is where sellers came in. A pullback is very likely before AVAX can burst through the $100 value area.

AVAX price stop just $3 shy of $100, overbought and extended price action the likely culprit

AVAX price has several technical reasons why it is finding some difficulty hitting the $100 level. The primary reason is the large gap between the body of the candlesticks and the Tenkan-Sen. One of the behaviors of the Ichimoku Kinko Hyo system is the close relationship between the candlesticks and the Tenkan-Sen – they like to move together, almost like holding hands. When gaps develop between the two, things become volatile, and traders often see fast corrective moves that return to the Tenkan-Sen. AVAX price is in one of those conditions right now.

Adding to the likely hood of the pullback are the Optex Bands trading in the extreme overbought levels and the Composite Index trading near a historical resistance range. The combination of the gap between the candlesticks and the Tenkan-Sen with the overbought and extended conditions in the oscillators points to AVAX dipping lower. Support will likely be found between the Kijun-Sen ($75) and the Tenkan-Sen ($80). If there is a much deeper corrective move, then the most potent level of near-term support range is between the 50% Fibonacci retracement at $54 and Senkou Span B at $56.

AVAX/USDT Daily Ichimoku Chart

However, cryptocurrencies are likely in a strong altcoin bull market, and the extended conditions may become more extended. Consolidation between $90 and $98 without a pullback is also possible. Any new daily close at or above $100 would invalidate any projections of an imminent pullback.

 


Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.

Recommended content


Recommended Content

Editors’ Picks

US presidential election outcome could shape the future of crypto

US presidential election outcome could shape the future of crypto

US citizens will go to the polls to elect a new president on November 5, and their choice could be key for the future of the crypto industry and thus the price outlook for Bitcoin (BTC).

More Cryptocurrencies News
Bitcoin Price Forecast: BTC recovers as Donald Trump takes lead on polls

Bitcoin Price Forecast: BTC recovers as Donald Trump takes lead on polls

Bitcoin (BTC) slightly recovered to around $68,800 on Tuesday, following a shift in the United States presidential race that saw former President Donald Trump regain the lead, after US spot Bitcoin ETFs experienced an outflow of over $540 million on Monday.

More Bitcoin News
Crypto markets brace for volatility in tight race between Trump and Harris

Crypto markets brace for volatility in tight race between Trump and Harris

The US presidential election is one of the most significant events in the world. Due to the influence of the country’s political decisions, policies, and economic approaches, it can significantly impact crypto and global markets. 

More Cryptocurrencies News
Trump-inspired memecoin MAGA shows bullish on-chain metrics ahead of US elections

Trump-inspired memecoin MAGA shows bullish on-chain metrics ahead of US elections

MAGA (TRUMP) trades slightly down to around $3.4 on Tuesday after rallying more than 20% since Sunday. The former President Donald Trump-based memecoin is poised for further gains as daily active addresses and network growth metrics rise, signaling increased network usage and adoption

More Cryptocurrencies News
Bitcoin: New all-time high at $78,900 looks feasible

Bitcoin: New all-time high at $78,900 looks feasible

Bitcoin price declines over 2% this week, but the bounce from a key technical level on the weekly chart signals chances of hitting a new all-time high in the short term. US spot Bitcoin ETFs posted $596 million in inflows until Thursday despite the increased profit-taking activity.

Read full analysis
Best Forex Brokers with Low Spreads

Best Forex Brokers with Low Spreads

VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.

Read More

BTC

ETH

XRP