AVAX is eyeing upward movement following a period of stability, with the cryptocurrency finding a foothold around the $30.50 mark after a gradual decline. Rebounding from its recent low near $30.58, AVAX initiated a fresh uptrend, mirroring the movements of Bitcoin and Ethereum.
The price surged by more than 10%, surpassing several obstacles around the $35.00 mark. Notably, a crucial bearish trend line with resistance at $34.00 was breached on the 4-hour AVAX/USD chart. Furthermore, the pair cleared the 50% Fibonacci retracement level of the downward swing from the $39.83 peak to the $30.58 trough.
Currently, AVAX is trading above $36.50 and the 100 simple moving average (4 hours). Immediate resistance looms around the $37.65 mark or the 76.4% Fibonacci retracement level of the aforementioned downward move. The subsequent significant resistance area forms near $39.80. If this level is breached, a surge of more than 10% could be witnessed, potentially propelling the price steadily towards $42.50 or even $44.00.
Should AVAX encounter hurdles and fail to sustain momentum above $37.65 or $39.80, a corrective downturn might ensue. Initial support lies near the $36.30 level, with major support found around the $35.20 zone and the 100 simple moving average (4 hours). A breach below $35.20 could pave the way for a substantial decline towards $32.80, followed by crucial support near $30.50.
In terms of technical indicators, the 4-hour MACD for AVAX/USD indicates a bullish momentum, while the 4-hour RSI sits comfortably above the 50 level, signaling positive momentum.
Key support levels to watch are $36.30 and $35.20, while notable resistance levels include $37.65, $39.80, and $42.50.
