- Avalanche is trading at $13.68 under strong bearish momentum after breaking key support.
- Indicators and moving averages point to continued downside pressure.
- A wedge breakdown suggests a potential decline toward the $9 level.
Avalanche (AVAX) continues to experience significant downward pressure from selling as the overall weakness seen throughout the crypto marketplace weighs down on many of the larger altcoins out there.
The cryptocurrency has struggled to get back some of the ground that it has lost over the previous weeks and has left the bears in complete domination of this market. At press time, Avalanche is trading at $13.68 with an increase of 7.71% over the past 24 hours.
Momentum Weakens as AVAX Struggles to Hold Support
According to the data curated from TradingView, Avalanche (AVAX) continues to fall victim to the bears, as well as to deteriorating momentum indicators.
The chart shows AVAX priced near $12.80, which is near immediate support ($12.00-$12.50). AVAX’s relative strength index (RSI) is around 31-33 and continues to represent aggressive selling, with no bullish divergence to create any sense of buying pressure.
On-Balance While the RSI is declining, the On-balance Volume (OBV) is also declining and is consistent with distribution and not accumulation. Together, these indicators suggest that the bears maintain significant control of Avalanche and that the area of support is weakening.
Also Read: Bitwise Files Spot Avalanche ETF Ticker BAVA and Low Fees Revealed
Moving Averages Reinforce a Strong Downtrend
The TradingView chart reinforces the overall bearish sentiment concerning Avalanche by showing price action breaking well below both 50-day and 200-day moving averages. Both of those averages have been moving down in parallel, illustrating an established downtrend for the asset.
AVAX has faced multiple rejections at the $17 price point as well, showing a lack of ability of buyers to reverse the bearish momentum established by the bears. The volume has also been declining, supporting this bearish thesis and establishing a lack of demand at the present price points of AVAX.
Analyst Projection Signals Possible Drop to $9
According to Ali_Charts’ recent update, the formation of a right-angled ascending broadening wedge indicates the potential for a significant drop to $9.00 support, showing additional weakness in AVAX as per both the TradingView chart and the analyst’s chart.
In conclusion, the bearish outlook remains for AVAX until it recaptures the $16.95-$17 resistance area. If AVAX breaks below $12.00, the bearish target would increase from $10.50-$11.20 to the deeper target of $9.00.
Also Read: Avalanche Faces Key Support: Could AVAX Hit $4.40 in 2026?
