AVax / USD is trading near strong support as selling pressure has increased on Avalanche as it correlates to general market sentiment.
The AVax / USD is trading near 86.5000 with rapid changes in value as nervous trading affects the cryptocurrency. Avalanche was certainly able to create quite a positive sentiment in November and December 2021, as it capitalized on its status as a newcomer to the cryptocurrency and blockchain landscape. However, since December 22, when the AVax / USD traded near the 127.50 level, Avalanche has experienced severe erosion in value.
Current support near 83.0000 to 81.0000 should be watched closely by traders as sensitive ratios. AVAX / USD was able to take advantage of the rather bullish wave of buying that has helped bring cryptocurrency to the forefront of the blockchain over the past two months and has created a ranking close to number 11 by market capitalization. However, the past two weeks have shown that AVax / USD is sensitive to nervous selling like its major counterparts.
Optimistic AVax / USD traders may think it has been oversold and that the 83.0000-81.0000 will provide a solid starting point to look for higher values with long positions.. However, the trend in the wider market has been severe and until it shows real signs of reversal all cryptocurrencies including AVAX / USD should be viewed with suspicion. Perhaps cautious Avalanche optimists may want to consider waiting for momentum to first cross the value of 91.0000 in order to continue a potential bull run.
The AVax / USD is moving rapidly and traders should use entry-level orders to place their positions to ensure that they do not receive a fill that is significantly different from their expectations.. Even though AVAX / USD is one of the top ranked cryptocurrencies, it is not immune to rapid volatility, risk management is essential and trading goals should be kept realistic.
Short-term traders may want to aim for close support and resistance levels as the vast cryptocurrency market continues to struggle to achieve a higher solid reversal. The downtrend in AVax / USD may continue to correlate with its major counterparties. Selling AVAX / USD and aiming for 84.0000 as a take profit to sell positions can prove useful for traders entering the market with slight upward movements. The current AVAX / USD range between 80.0000 and 90.0000 is likely to prove important in the short term. If the lower ratings are disputed, it could indicate that more sales are on the way.
Short-term outlook on avalanches:
Current resistance: 89.5600
Current support: 82.3000
High Target: 94 8700
Low target: 77.9000