- Avalanche (AVAX) is showing strong bullish signals after holding above $20 and breaking out of key technical patterns, with momentum building toward a potential move to $30.
- If the $25 resistance is cleared, AVAX could rally further, but failure to do so might lead to a retest of lower support around $15.
Avalanche (AVAX) is showing signs of renewed bullish momentum after holding strong above the crucial $20 support level for more than two weeks. Now trading at $23.55, AVAX has gained over 4% in the past week, suggesting a potential bullish breakout could be on the horizon.
Falling Wedge Breakout Sparks Bullish Momentum
Technical indicators are aligning with a possible trend reversal. AVAX has broken out of a falling wedge pattern on the weekly chart, a classic bullish reversal setup. This pattern had been forming through a series of lower highs and lower lows, but recent price action has pushed AVAX above the wedge’s upper boundary, signaling weakening downward pressure.
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Complementing this breakout, the Awesome Oscillator is beginning to flash green bars—even though it remains below the zero line. This transition from red to green indicates growing buying interest, and if the support at $20.12 continues to hold, AVAX could aim for the $30 mark in the near term.
Ascending Triangle Pattern Reinforces Bullish Outlook
On the daily chart, the bullish case becomes even more compelling. AVAX is consolidating within an ascending triangle, a continuation pattern that typically favors upward breakouts. The price is approaching the triangle’s resistance level, and the ascending trendline shows consistent higher lows, underscoring strong buyer interest.
The Relative Strength Index (RSI) remains above the 50-neutral level, highlighting sustained bullish pressure. If AVAX breaks through the $25 resistance, the next target lies near $30.45—aligned with the 0.618 Fibonacci retracement level. A strong breakout could even propel the token toward $35 and beyond $40 if market sentiment strengthens.
Conclusion: Path Toward $30 Remains Open
With a combination of bullish chart formations and improving momentum indicators, AVAX is positioning itself for a potential rally. The key level to watch remains the $20 support; as long as it holds, upside targets remain within reach. A breakout above $25 could serve as the next catalyst, potentially opening the door to $30 and higher. However, failure to breach resistance could invite selling pressure, with downside risk extending toward $15.
For now, AVAX appears to be laying the groundwork for its next major move—possibly a skyrocket toward $30.
