June has been a devastating month for crypto buyers. However regardless of this, we’re seeing some restoration as main cash construct modest upward momentum. AVAX isn’t any totally different, and the coin has now managed to reclaim an vital help zone after crashing in June. So, the place will it go subsequent? Is the rally short-lived or everlasting? Listed here are some highlights:
AVAX had crashed almost 65% in June alone.
Nonetheless, the coin has rallied up to now two days with a 15% achieve in 24 hours.
Extra importantly, AVAX has reclaimed the $14 help.
Information Supply: TradingView
The place will Avalanche go from right here?
Effectively, there are a lot of situations at play right here. First, the rally we’ve got seen by AVAX over the previous two days corresponds to a broader restoration available in the market. This might recommend that maybe we have been seeing a short-term reduction after large sell-offs final week. If that’s the case, then AVAX may lose upward momentum very quick.
The excellent news although is that the coin is now buying and selling above the $14 mark. For probably the most half in 2022, this help has held robust even within the face of large bear strain. So, even when the coin was to drag again from its present 2-day rally, the bulls may have a greater likelihood of defending the $14 mark than they did every week in the past.
Nonetheless, failure to maintain $14 may mark the start of a significant decline for AVAX. In truth, after $14, the one different actual help is at $10.70.
Why AVAX nonetheless poses main dangers?
Regardless of rising above the $14 mark, we nonetheless see main dangers with AVAX. First, the coin has up to now few weeks struggled to maintain the momentum going above $20.
As such, we anticipate it to start dropping momentum because it strives towards $20. This might result in a pointy pullback that finally places the $14 help beneath actual risk.