Categories: Crypto News
| On
2023-12-08 10:56 AM

Avalanche Eyes 40% Surge, South Africa Keen on Crypto Growth

  • Avalanche's Bullish Trend: AVAX has seen a significant increase of 236% since the market turned bullish, currently facing a key supply barrier.
  • Technical Indicators Point to Potential Gains: The Relative Strength Index (RSI) and Awesome Oscillator (AO) indicate strong momentum, suggesting further upside for AVAX.
  • Critical Price Levels to Watch: If AVAX overcomes the supply zone at $28.08, it could extend gains past $30.00 and potentially reach $32.08 or higher. Conversely, rejection from this zone could lead to a decline towards the $20.00 level or below $15.65.
By Nonhlanhla

Avalanche (AVAX), a popular altcoin, is showing a bullish trend with the potential for significant gains, drawing keen interest from the South African crypto market. The coin’s upward momentum could hinge on overcoming a critical supply barrier.

AVAX Faces Crucial Supply Barrier Challenge

Since the market turned bullish, AVAX has surged 236%, but now it confronts a supply barrier ranging from $26.56 to $29.34. At 3:30 a.m. GMT, it traded at $26.12, with potential for further gains amid rising momentum.

Technical Indicators Suggest More Upside

The Relative Strength Index (RSI) remains northbound, indicating strong momentum despite AVAX being in overbought territory. The Awesome Oscillator (AO) also shows bullish signs, with pronounced green histogram bars.

Possible Scenarios for Avalanche’s Price

If buying pressure increases beyond current levels, AVAX could surpass the midline of the supply zone at $28.08. A decisive break and close above this level could signal the trend’s continuation, potentially pushing the price past $30.00 and up to $32.08.

In an extremely bullish scenario, AVAX might follow the trajectory of the fair value gap (FVG), ranging from $38.12 to $41.07. Surpassing the $40.00 midline would confirm a substantial northward extension, marking a 40% increase from current levels. However, a rejection from this supply zone could see a downward pull towards the $20.00 mark, and in a worst-case scenario, a fall to below the $15.65 support level, invalidating the bullish trend.

South Africa’s Growing Interest in Crypto Trends

This forecasted movement of Avalanche is particularly relevant in South Africa, where there is growing enthusiasm for cryptocurrency investments. The country’s investors are closely watching AVAX’s performance, as it could indicate broader trends and opportunities within the global and local cryptocurrency markets.

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Nonhlanhla

Nonhlanhla P Dube is a senior news reporter. Nonhlanhla is a student of International Relations at the University of South Africa. She reports primarily on personal finance and economics. You can contact her on: Email: nonhlanhla@rateweb.co.za

Tags: Avalanche