In the cryptocurrency market, technical analysis emerges as a crucial indicator, especially for investors trading in the futures market. What clues does technical analysis provide for Avax, which was trading at $22.25 at the time of writing? We examine in detail with charts and key support and resistance levels.
Avax Chart Analysis
The first notable formation in the two-hour Avax chart is a triangle formation that achieved a significant breakout on December 1st, breaking the resistance line and continuing its ascent. The direction will be determined by a potential support or resistance breakout for Avax, which has been consolidating in a narrow range in recent bar closings.
The most important support levels to watch on the two-hour chart for Avax are $22.06, $21.56, and $20.70, respectively. A bar closing below the $22.06 level could subject the Avax price to selling pressure in the short term. However, as long as the bar does not close below the EMA 200 level of $21.13, an upward scenario for Avax can be considered.
For Avax, the critical resistance levels on the two-hour chart are $22.50, $23.05, and $23.75, respectively. Especially after the last rally, a bar closing above the $22.50 level will help Avax gain momentum.
AVAX/ETH Chart Analysis
In the weekly AVAX/ETH chart, a breakout has occurred in the downtrend that has persisted since July, and after a retest, the AVAX/ETH level continues to gain momentum. Such a gain in momentum for Avax against Ethereum could bring the competition seen among Layer-1 ecosystems in 2021 back into the spotlight.
The most significant support levels to follow on the weekly chart for AVAX/ETH are 0.00978, 0.00889, and 0.00798, respectively. A weekly bar closing below the 0.00978 level could lead to a decline in the AVAX/ETH pair.
The most important resistance levels on the weekly chart for AVAX/ETH are 0.01079, 0.01157, and 0.01256, respectively. Particularly, a bar closing above the significant barrier of 0.01256 during the last uptrend will facilitate Avax’s momentum against Ethereum.
- Avax’s technical outlook suggests a potential uptrend.
- Key support and resistance levels are highlighted.
- Avax against Ethereum shows competitive momentum.