👋 Welcome to TradeCity Pro!
In this analysis, I want to review the AVAX coin for you. It’s another Layer1 and RWA project whose coin has a market cap of 7.48 billion dollars and ranks 16th on CoinMarketCap.
📅 Daily Timeframe
On the 1-day timeframe, as you can see, the price is sitting on a very important and strong support at the 16.46 zone, which I’ve marked as a range for you.
🔍 This range is where buyer makers are heavily present, and the price has touched it three times so far and has been supported each time. This shows the high strength of this zone.
✨ Currently, after being supported from this zone, the price has reached the 18.77 level and is fluctuating below this level. Volume is also gradually decreasing, and we have to see what happens next.
📊 If the volume keeps decreasing like this, the price will probably continue ranging between 16.46 and 18.77 until volume enters the market. But if strong buying or selling volume enters, the price can make a move and exit this range.
✔️ If buying volume enters and the price wants to move upward, we can enter a long position with a break of 18.77 and even buy in spot. A confirmation for this position could be the RSI breaking above the 50 level.
🛒 I personally consider this trigger suitable for a long position, but for spot I suggest waiting for a break of 25.78. More important than that is Bitcoin dominance, and in my opinion, as long as the long-term trend of Bitcoin dominance is bullish, buying altcoins is not logical and we have to wait until dominance changes trend.
📉 If the price wants to move downward and selling volume enters the market, the break of this same support range would be the best trigger. With a break of 16.46, we can enter a short position, and if you already bought this coin in spot, you can activate your stop-loss as well.
💥 A momentum confirmation for this position would be the RSI breaking below the 30 level and the oscillator entering the Oversell zone.
📝 Final Thoughts
This analysis reflects our opinions and is not financial advice.
Share your thoughts in the comments, and don’t forget to share this analysis with your friends! ❤️
