Disclaimer: The knowledge offered doesn’t represent monetary, funding, buying and selling, or different forms of recommendation and is solely the author’s opinion.
- AVAX’s worth motion chalked a rising channel and an RSI divergence.
- AVAX’s Funding Fee and improvement exercise declined.
Due to its January rally, Avalanche’s [AVAX] worth doubled from $10 to over $20. At press time, AVAX was buying and selling at $21.14 and appeared decided to proceed with its surge.
Learn Avalanche’s [AVAX] Worth Prediction 2023-24
Nonetheless, a key metric indicated an rising divergence, which may counsel a potential reversal within the subsequent few days/weeks.
AVAX recorded an RSI divergence: Is a worth reversal possible?
On the 12-hour chart, AVAX’s worth motion chalked a rising channel sample since mid-January. Equally, the On Steadiness Quantity (OBV) made increased lows, indicating that buying and selling volumes and demand for AVAX elevated in the identical interval.
Nonetheless, the Relative Power Index (RSI) declined in the identical interval, indicating a divergence that would level to a probable reversal in just a few days or perhaps weeks. In such a case, AVAX may drop beneath the rising channel to the help vary of $15.76 – $16.92.
However the drop may first be stopped by the channel’s decrease boundary or by the 26-period EMA earlier than hitting the vary help.
Nonetheless, the above bias could be invalidated if AVAX sustained its worth motion within the rising channel within the subsequent few weeks. It may set AVAX to reclaim the $25.40 zone, a key worth stage in July 2022.
AVAX’s Funding Charges and improvement exercise declined
As per Santiment, AVAX’s improvement exercise declined after peaking on the finish of January 2023. The drop may undermine buyers’ assurance and confidence within the asset, which may negatively have an effect on the token’s worth in the long term.
Equally, AVAX’s Funding Fee dropped sharply by the top of final month, suggesting a decline in demand for the asset within the derivatives market. The metric may undermine a powerful uptrend momentum, which may tip bears to realize leverage.
How a lot is 1,10,100 AVAXs value right now?
AVAX’s Open Curiosity (OI) charges reinforce the above pattern. As per Coinglass’ knowledge, AVAX’s Open Rate of interest has been step by step rising since February 1, indicating that extra money flowed into AVAX’s futures market. However the rising OI momentum slowed by press time, which may additional undermine a powerful uptrend.
But when Bitcoin [BTC] surges above $23.5k within the subsequent few days/weeks, AVAX may intention on the $25 zone, invalidating the above bearish bias.