- AVAX broke out of a two-month consolidation period
- Technical indicators and market sentiments seemed highly favorable for AVAX
AVAX is finally out of its slump. After a considerable consolidation period, the daily charts finally registered an uptick in activity. Could this be the moment it rockets to $50?
At the time of writing, AVAX was trading at $36.90, having hiked by over 7% in just 24 hours.
AVAX’s surge in bullish momentum
Over the past two months, AVAX has been quietly preparing for a major rally. The consolidation period has seen it retract by a mere 0.382 Fibonacci-level from the depths of the bears’ reign, indicating a strong underlying support and the potential for a rebound.
This pattern of movement has shaped up to form a classic bull flag on the charts – A pattern that might point to a major breakout soon. Additionally, the sentiment around AVAX is now overwhelmingly bullish as well.
Market experts, community members, traders, and investors are all tuned to its frequency, anticipating a surge in the short-term. In fact, data from Coinglass revealed that AVAX’s trading volume has risen by 6% in the last 24 hours alone.
Source: Coinglass
State of Avalanche’s ecosystem
Avalanche is also innovating its platform to step into areas previously dominated by giants like Ethereum. By tokenizing real-world assets such as a fine wine investment fund, Avalanche recently revealed its vision for a diversified asset ecosystem.
This strategy taps into the rising demand for tokenized assets. It’s a clever alignment with Ethereum, which has already managed huge volumes in tokenized assets, including $381 million in United States treasuries alone.
Also, it has launched ‘Memecoin Rush,’ a liquidity mining incentive program. By injecting $1 million into this initiative, Avalanche aims to catalyze activity within the memecoin sector on its network.
Road to $50?
AVAX’s ability to hit $50 in the next six weeks hinges on it maintaining its current bullish pressure within favorable market conditions. If the current momentum continues, strengthened by strong buying volume and bullish market sentiment around Avalanche, there’s a plausible scenario where AVAX approaches the $50-mark within the next six weeks.
In fact, the price has already shown its capacity for rapid hikes in the past.
Before AVAX hits $50, however, the next challenge lies in the altcoin breaking through subsequent resistance levels, which are around the $40 and $45 price points based on historical performance. A consolidation above each level would be key to sustaining northbound momentum towards $50.
