Avalanche (AVAX) price is showing early signs of recovery as its weekly chart indicates weakening selling pressure and a possible bullish reversal. At the same time, rapidly increasing on-chain activity reflects stronger ecosystem participation, supporting optimism that improving fundamentals could reinforce a sustained price recovery.
At the time of writing, AVAX is trading at $6.59, with a 24-hour trading volume of $259.26 million and a market capitalization of $2.85 billion. Despite remaining stable over the last 24 hours, the AVAX price structure points to a potential bullish reversal.
Source: CoinMarketCap
Also Read: AVAX Price Prediction: Bullish Pattern Signals Potential Rally to $8 Target
AVAX Price Chart Signals Recovery to $18
According to the crypto analyst Crypto波段王|Bird, AVAX on the weekly chart remains in a prolonged downtrend, with price consolidating near $6.50 after a sharp drop from above $50.
Recent small-bodied candles indicate selling pressure is fading, while buyers are attempting to establish a long-term accumulation base around current support levels before any sustained recovery.
The two downward-sloping moving averages continue to confirm the broader bearish trend, with strong resistance around $22-$25. A successful rebound must first reclaim $9-$10, followed by $12-$13.
Breaking these barriers could extend the recovery toward $16-$18, strengthening longer-term bullish momentum and market confidence.
Source: Crypto波段王|Bird’s X Post
Trend Scalp is highly oversold, although the indicator seems to have stabilized, indicating that the downtrend momentum may be fading.
Any uptrend expected could lead to a bullish crossover formation as long as buying volumes increase. The stock should stay above $6.30 for any chances of recovery; otherwise, we can see moves towards $5.50.
Network Activity Reaches New Milestone
The data from MSB Intel further highlighted that Avalanche has witnessed an increase in its on-chain activities, whereby daily transactions have increased from 953,000 to 3.87 million over the past year.
The increase indicates that there is fast adoption of the network, increased user participation, and demand.
Source: MSB Intel’s X Post
The rising number of transactions shows the expansion of the Avalanche ecosystem, as more developers and users are getting involved with the platform.
The steady maintenance of such high levels of transactions will definitely help build investor confidence, increase the liquidity of the ecosystem, and grow over time.
Despite the bullish price predictions and increase in on-chain activities, the AVAX price is moving in neutral territory. However, the general trend in the crypto market is improving, and the AVAX price could soon witness a breakout if conditions remain favorable.
Also Read: AVAX Price Analysis: Bullish Setup Strengthens With NEC Identity Partnership
This article contains market analysis and price predictions. These are not guarantees. Crypto markets are volatile. Always DYOR. Not financial advice.
