Avalanche (AVAX) has shown renewed strength after rebounding from a local bottom at $9.98, building a series of higher lows and breaking above previous short-term resistance. The recovery has put the key $10.96 level back into focus for traders, with several higher targets mapped out if current momentum continues.
AVAX forms solid support, $10.96 emerges as turning point
Since touching $9.98, Avalanche has established a firmer technical structure with consecutive higher lows. AVAX recently surpassed the $10.75 resistance, a point that had limited earlier rallies. Technical analyst Alex Marzell posted on X that AVAX touched approximately $10.96 after its breakout, though it briefly retreated after reaching that high. The token is now holding above $10.55, which has shifted from resistance to become an important support level for the short-term trend.
A sustained position above $10.55 keeps the breakout in play and leaves $10.96 open for another upward attempt. However, if AVAX falls below this line, it could indicate that the latest bounce was temporary and revive downside pressure.
Marzell’s chart highlighted the new short-term support at $10.55, stating that holding above this level is essential for maintaining breakout momentum and eyeing another push toward $10.96.
Bullish technical signals and multi-year wedge pattern
The broader technical picture is also improving. Avalanche has spent several years trading inside a wide falling wedge that began during the 2021 market cycle. The analyst known as Moustache shared a three-week chart showing AVAX rebounding from the wedge’s lower boundary between $6 and $7, and now climbing towards the $10–$11 zone.
Momentum is gaining traction: the three-week MACD, a long-term technical indicator, is turning upward toward a bullish crossover after a period of negative readings. The shrinking bearish histogram suggests decreasing downside momentum. Still, a full bullish confirmation has yet to be established, as the MACD signal is not finalized.
The wedge’s upper boundary is currently between $24 and $28, while intermediate resistance sits at $16–$18. Overcoming these levels is necessary for AVAX to confirm a lasting shift in trend.
Mini dictionary: MACD (Moving Average Convergence Divergence) is a trend-following momentum indicator that shows the relationship between two moving averages of a security’s price and is used to spot changes in the strength, direction, momentum, and duration of a trend.
Recovery targets: $17, $22, and $27
AVAX is now approaching a crucial medium-term resistance zone, highlighted by analyst Michaël van de Poppe. He indicated that a breakout above current resistance could activate the next leg of recovery. The first major target in sight is around $17, followed by $22 as the next major barrier. If the trend remains intact and buying pressure persists, $27 could become achievable as a long-term objective.
| Level | Status |
|---|---|
| $10.55 | Current support |
| $10.96 | Short-term resistance |
| $17 | First recovery target |
| $22 | Major resistance zone |
| $27 | Macro target |
Analysts stress that confirmation of a breakout and sustained defense of gains above these resistance levels is required to advance to each subsequent target.
Michaël van de Poppe’s outlook maps out a path from support at $10.55 and potential breakouts at $10.96, targeting $17 and $22, with $27 seen as the main longer-term projection if technical conditions remain favorable.
ETF inflows strengthen AVAX fundamentals
While price structure continues to improve, demand for Avalanche investment products is also rising. Bitwise’s Avalanche ETF registered approximately $231,000 in weekly inflows, marking its second-highest inflow for the quarter. This uptick occurred during a period of recovery for AVAX, hinting at renewed institutional and investor attention.
Although ETF inflow alone cannot dictate price action, increased investment activity complements the bullish technical picture, reinforcing the recovery narrative.
Mini dictionary: Bitwise is a leading digital asset management company that offers cryptocurrency index funds and ETFs aimed at both institutional and retail investors.
Risks and downside considerations
Despite the signs of improvement, Avalanche must still clear several important technical hurdles. A decline below $10.55 would weaken the bullish outlook, putting the $9.98 low back into play. Any failed breakout at $10.96 could stall recovery, while unresolved momentum on the MACD leaves the trend unconfirmed. The $16–$18 area and the wedge’s upper boundary remain significant challenges before the possibility of reaching $27.
Avalanche currently trades around $10.54, up about 1% over the past 24 hours. Maintaining support and overcoming key resistance levels will be crucial for AVAX to sustain its recovery toward longer-term targets.
