We sometimes see interesting repetitions in cryptocurrency markets. Today’s contrasting rise in the price of AVAX is one such example. If you recall, at the beginning of 2023, while other cryptocurrencies were falling, Avalanche (AVAX) was leading the charge even before the major New Year’s rally had begun. If history is repeating itself, other cryptocurrencies could continue to rally where the rise in AVAX has stopped.
Why AVAX Coin Rose
Today, while BTC fell below $42,000, the popular cryptocurrency continued the day with double-digit gains. The price was $36.3 at the time of writing and the daily peak was $37.99. The reason for the rise at the beginning of 2023 was the announcement of partnerships with technology giants. However, the reason for today’s recovery is different.
For the first time since Emin Gün Sirer’s layer1 project StarsArena, it has been able to diverge so positively. What triggered AVAX Coin’s rise was the breaking of the 750-day resistance trend line. The resistance coming from the ATH level collapsed after 750 days. Generally, such long-term breakthroughs bring about large and stable rallies.
RSI is rising and is above 50. However, the price has pulled back slightly due to profit-taking sales.
AVAX Coin Price Prediction
After the last surprise rally, analysts’ agenda naturally included the AVAX Coin price. An analyst named JJJCycles stated that there was a significant breakout and now $53 could be tested. Crypto Ryan, reminding that the price has increased over 150% since his previous call, reiterated his $55 target.
An analyst named Shuarix wrote the following;
“If the expected increase in volume occurs, it is likely to break the resistance line above.”
The Elliot wave count on the daily chart shows us that the AVAX Coin price is in its fifth and final wave. If the upward momentum continues, the predicted peak target is at $44.
If it rises above the peak point of the fifth wave, it could extend to the final peak of $58. For this, the BTC price will have to reverse its direction and probably the fear of the Fed will have to pass.
In the negative scenario, if $44 is not exceeded, a pullback to the horizontal support area between $24-22 is likely.
