Key Insights
- •AVAX price holds steady between $12.2 and $15.7, with bulls targeting a breakout above resistance.
- •Daily active addresses on Avalanche surge 986.5%, reaching 1.71 million users in mid-January network activity spike.
- •Traders watch $15.7 candle close as signal for possible AVAX trend reversal and upward momentum continuation.
Avalanche (AVAX) is currently trading above a key support level of $12.2. Market watchers are closely observing whether the coin can break through resistance level and if it succeeds, traders believe this could confirm a trend reversal on the daily chart.
AVAX Price Movement Between Key Levels
For the last three weeks, AVAX has moved between $12.2 and $15.7. The $15.7 level has acted as a strong resistance, blocking upward movement while traders view this range as a key zone to watch for a breakout.
Secda35 noted, if it can close a daily candle above 15.7, it will break the downtrend. He also shared resistance levels up to $35.7, which some traders may use for profit-taking and also added that he personally plans to sell at around $60.
Meanwhile, butterfly_chart analyst observed a symmetrical triangle pattern forming on the weekly chart. He pointed out that AVAX is rebounding from the lower boundary, suggesting a possible increase in bullish pressure. Technical traders often see this kind of pattern as a sign of potential breakout when volume increases.
User Activity on Avalanche Network Grows Sharply
Avalanche’s blockchain has seen a rise in on-chain activity, driven by growing demand for its applications. Daily active addresses surged to 1.71 million in mid-January. This marked a 986.5% increase compared to the usual 300K to 500K daily users.
The jump shows strong interest in Avalanche-based applications. Developers and users are showing more engagement with the network. This level of activity could affect the demand for AVAX if it continues.
The price is holding above key support, but buyers still need to push past resistance for a clear move up. The price currently stands at $12.74 with a trading volume of over $444 million in the last 24 hours. Traders are now waiting to see if AVAX can close a daily candle above $15.7. That move could attract new buying and change the current market structure.
The current setup suggests a larger move may follow if bulls manage to break resistance. For now, the market remains cautious, but active.