AVAX Price Rebound Fails To Breach $22 Resistance Due To High CPI Data

Christian Encila

2 years ago

3 mins read

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AVAX had time to recoup from June to July and then in August, the token slipped and formed a bullish cup and handle pattern.

AVAX intraday trading volume indicates a 38.7% plunge
Avalanche sellers successfully reclaimes the 20-day EMA slope
Trading volume skyrockets to 487 million

Now, the pattern which can be spotted at the market bottom will serve as a feasible launchpad for the crypto’s recovery but in order to complete the pattern, the coin price should barrel past the $30.6 key resistance.

With the reversal of the V-top formation seen at the key resistance level of $30.6, the AVAX coin price dropped to $18.4 of the Fibonacci retracement level. It is however beneficial for buyers who were able to position right at this level prompting a 25% spike to $22.53.

On the other hand, the massive selloff happening in the crypto market hinders the recovery of AVAX price and threatens a further downtrend.

The selloff that happened on September 13 has sloughed off the possibility of completing the pattern. Evidently, the downtrend that took place yesterday was triggered by the high CPI or Consumer Price Index data.

AVAX Low Volume Hints At Bulls’ Weakness

According to CoinMarketCap, AVAX’s price is down by 1.51% or trading at $18.84 as of this writing. The low volume seen with AVAX implies the bull’s waning commitment or weakness.

In the event that the selling pressure intensifies, AVAX could suffer a slump to $18.3 and then try to breach under that level which can further extend the decline to match the $13.6 low support seen in June.

Now, if the buyers are able to defend the support zone at $18.3, then the bullish movement may persist and the AVAX coin price will spike to $31.4.

Avalanche’s EMAs show all indicators going down with the exception of the 50-day EMA which proves to be a hurdle to AVAX price.

AVAX RSI shows a downtrend that heads under the midline hinting at a negative market sentiment.

CEO Announces KKR $417-Billion Merger

In other news, Emin Gün Sirer, Avalance (AVAX) Labs CEO announced on September 14 that KKR has made a $417-billion merger with Avalanche.

With Securitize, a FinTech company, Avalanche can proceed with tokenization and accessibility to a wider range of markets. The partnership announcement has amplified social media metrics in the past few months.

More so, AVAX social engagements escalated by 148.7%, plus also a surge of social mentions at 257.3%, as seen in the past three months.

Further, the AVAX market cap has also spiked by 4.31% as seen in the past week with trading volume skyrocketing from 324.2 million on September 12 to 487 million to date.

BTC total market cap at $384 billion on the daily chart | Source: TradingView.com

Featured image from Cryptopolitan, Chart: TradingView.com

Christian Encila

They say journalists never truly clock out. But for Christian, that's not just a metaphor, it's a lifestyle. By day, he navigates the ever-shifting tides of the cryptocurrency market, wielding words like a seasoned editor and crafting articles that decipher the jargon for the masses. When the PC goes on hibernate mode, however, his pursuits take a more mechanical (and sometimes philosophical) turn.

Christian's journey with the written word began long before the age of Bitcoin. In the hallowed halls of academia, he honed his craft as a feature writer for his college paper. This early love for storytelling paved the way for a successful stint as an editor at a data engineering firm, where his first-month essay win funded a months-long supply of doggie and kitty treats – a testament to his dedication to his furry companions (more on that later).

Christian then roamed the world of journalism, working at newspapers in Canada and even South Korea. He finally settled down at a local news giant in his hometown in the Philippines for a decade, becoming a total news junkie. But then, something new caught his eye: cryptocurrency. It was like a treasure hunt mixed with storytelling - right up his alley!

So, he landed a killer gig at NewsBTC, where he's one of the go-to guys for all things crypto. He breaks down this confusing stuff into bite-sized pieces, making it easy for anyone to understand (he salutes his management team for teaching him this skill).

Think Christian's all work and no play? Not a chance! When he's not at his computer, you'll find him indulging his passion for motorbikes. A true gearhead, Christian loves tinkering with his bike and savoring the joy of the open road on his 320-cc Yamaha R3. Once a speed demon who hit 120mph (a feat he vowed never to repeat), he now prefers leisurely rides along the coast, enjoying the wind in his thinning hair.

Speaking of chill, Christian's got a crew of furry friends waiting for him at home. Two cats and a dog. He swears cats are way smarter than dogs (sorry, Grizzly), but he adores them all anyway. Apparently, watching his pets just chillin’ helps him analyze and write meticulously formatted articles even better.

Here's the thing about this guy: He works a lot, but he keeps himself fueled by enough coffee to make it through the day - and some seriously delicious (Filipino) food. He says a delectable meal is the secret ingredient to a killer article. And after a long day of crypto crusading, he unwinds with some rum (mixed with milk) while watching slapstick movies.

Looking ahead, Christian sees a bright future with NewsBTC. He says he sees himself privileged to be part of an awesome organization, sharing his expertise and passion with a community he values, and fellow editors - and bosses - he deeply respects.

So, the next time you tread into the world of cryptocurrency, remember the man behind the words – the crypto crusader, the grease monkey, and the feline philosopher, all rolled into one.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.