Avalanche was ‘undervalued’ before posting 79% weekly gain: Analysts

December 12, 2023 Coin Telegraph

Friend.tech clone Stars Arena drives surge of activity on Avalanche

October 5, 2023 Coin Telegraph

The price of AVAX has surged more than 8% amid heightened network activity brought about by Friend.tech look-alike Stars Arena.

Decentralized social media (DeSo) application Stars Arena has caused a major uptick in activity on Avalanche’s C-chain network.

As network activity increased, so did the price of the network’s native AVAX (AVAX) token, which has gained more than 8% in the last 24 hours.

Launched in late September, the Friend.tech-inspired Stars Arena has seen the total number of daily transactions on the Avalanche C-chain — the blockchain component specifically designed for running smart contracts on Avalanche — grow by more than 186% over the past two days.

*Total Avalanche C-chain network activity spiked 186% from Oct. 1. Source: Snowtrace.io*

The Stars Arena application has grown rapidly as well, with more than 10,000 unique active wallets on the platform. Over the course of the past 2 days, the platform has witnessed more than $3.26 million in total trading volume and a little over 462,000 transactions, according to data from DappRadar.

*Stars Arena has grown rapidly since its launch in late-September. Source: DappRadar*

Meanwhile, data from DefiLlama shows that the platform has exceeded $1 million in total value locked (TVL). This however, still pales in comparison to Friend.tech, which commands some $44.27 million in TVL.

Like Friend.tech, Star Arena lets users link their Twitter accounts to the platform. Users then use the AVAX token to purchase “tickets” of other users, with a small cut of fees being paid to the platform itself and the users when tickets are bought and sold.

While purchasing a users’ ticket provides users with access to a private chat — unlike Friend.tech, Stars Arena features a public feed, so users can follow others without needing to front up large sums of money.

Pseudonymous X user Wale.swoosh described Stars Arena as “superior to Friend.tech in a lot of ways” — with its public feed feature allowing users to be more social than they would on the Base-based DeSo app.

I've capitulated in creating a Stars Arena account after seeing it all over my timeline.

Won't shill my own ref link, but a few thoughts:

Stars Arena is superior to Friendtech in a lot of ways and solves one of the main problems I had with FT.

There is a public feed, so people… pic.twitter.com/S9KzPp3hqC
— wale.swoosh (@waleswoosh) October 4, 2023

Still, Wale.swoosh and a number of others users across X noted that that the application was still quite buggy, with chats being “very laggy” and drew attention to the lack of information on the team behind the application.

Stars Arena is the latest app to join a growing roster of social finance platforms such as Alpha on the Bitcoin network, Friendzy on Solana and PostTech on Arbitrum. Despite the surge in similar DeSo apps, Friend.tech remains the market leader, with more than $293 million monthly trading volume, outpacing the next-closest app PostTech, by more than $283 million.

Magazine: Are DAOs overhyped and unworkable? Lessons from the front lines

Avalanche ‘bull trap’ risks pushing AVAX price down by 30% in February

February 2, 2023 Coin Telegraph

Amazon

The price of AVAX has more than doubled in 2023 but a growing divergence between several key metrics hints at a bearish reversal ahead.

Avalanche (AVAX) bulls should brace themselves for impact led by a growing divergence between severalkey indicators on the daily-timeframe chart.

AVAX price chart paints bearish divergence

The daily AVAX chart shows a classic bearish divergence between its price and relative strength index (RSI), a momentum oscillator forming since Jan. 11.

In other words, the price of AVAX has been making higher highs since the said date. But, on the other hand, the coin's daily RSI has been forming lower highs. This divergence suggest a slowdown in the momentum of the AVAX/USD pair, which may lead to a price reversal.

*AVAX/USD daily price chart. Source: TradingView*

In addition, the declining volumes during the course of AVAX's ongoing uptrend also hints at the same bearish cues.

The price-RSI and price-volume divergences appear as AVAX price continues its 2023 uptrend . Notably, Avalanche has rallied by more than 100% year-to-date to $22.50 as of Feb. 2, helped by improving risk-on sentiments and news of its partnership with Amazon.

On Jan. 31, Avalanche partnered with Intain, a structured finance platform that facilitates more than $5.5B in assets across more than 25 deals to run its digital marketplace IntainMARKETS via IntainMARKETS Subnet.

The price of AVAX rallied nearly 20% after the announcement.

Avalanche price risks drop 30% in February

AVAX's price has successfully closed above two key resistance levels: a multi-month descending trendline (blacked) and its 200-day exponential moving average (200-day EMA; the blue wave) during the ongoing rally.

Avalanche now eyes a breakout above $22.75, which has been serving as resistance since August 2022, for a potential breakout to $30 as its next upside target. This level also coincides with the falling wedge breakout target discussed in this analysis.

In other words, an approximately 30% gain from the current price levels.

Conversely, a pullback from the resistance level, fueled by the bearish divergence indicators discussed above, could send AVAX price toward its 50-day EMA (the red wave) at approximately $15-$16, down about 30% from current prices.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

3 reasons why Avalanche (AVAX) price can double by March 2023

January 12, 2023 Coin Telegraph

Amazon

The latest AVAX price rally comes on the heels of Avalanche’s partnership with Amazon Web Services as the cryptocurrency market rebounds.

Avalanche (AVAX) has opened 2023 with a bang, rising nearly 55% in the first two weeks. And now, a mix of technical and fundamental indicators hints that the token will keep rallying into March.

AVAX price breakout underway

The AVAX/USD pair appears to have been forming a falling wedge pattern since May 2022 and has now entered the breakout stage of this pattern.

A falling wedge forms when the price trends lower inside a range defined by two converging, descending trendlines. The pattern resolves as the price breaks out of its range to the upside. As a rule of technical analysis, the price can rise as high as the distance between its upper and lower trendlines.

*AVAX/USD daily price chart featuring falling wedge setup. Source: TradingView*

Applying the theory on AVAX's falling wedge pattern brings the token's breakout target at around $34, a 115% increase from current price levels.

Avalanche's Amazon partnership

AVAX’s bullish setup appears as Ava Labs — the developer of the Avalanche network — becomes an official blockchain solution provider to Amazon Web Services (AWS).

Notably, the firm will implement new features that make it easier for developers to run an Avalanche node through the AWS Marketplace. Additionally, developers can create Avalanche subnets with a few clicks.

The partnership will increase Avalanche's utility among enterprises and governments in a perfect scenario which, in turn, could boost demand for AVAX tokens. These prospects have helped the Avalanche token rise nearly 30% in a 24-hour adjusted timeframe.

$AVAX

Amazon partnership should get us this pump. Are you ready ? pic.twitter.com/6fCBZ6rbXo
— Crypto Bull ( Until 5th Sep 2025 ) (@holdersignals) January 11, 2023

Macro boosts bullish scenario

AVAX’s bullish falling wedge setup emerges amid improving macroeconomic fundamentals for riskier assets, which may benefit the crypto market in the coming months.

According to a Bloomberg survey, economists are positioned for a drop in the United States Consumer Price Index (CPI). Ideally, declining inflation may prompt the Federal Reserve to stop its interest rate hikes, which leaves investors with excess cash to invest in riskier markets.

The next CPI report will come out on Jan. 12. JPMorgan & Chase sees a 20% probability of the S&P 500 index rising by 3–3.5% if the December inflation figure comes in at 6.4%. The index could rise 1.5–2% if the inflation reading comes inside the 6.4–6.5% range, a scenario with a 65% possibility.

*JPMorgan's game plan on CPI day. Source: Bloomberg*

Thus, AVAX/USD could rise alongside the U.S. benchmark index on a lowered inflation reading, with a rally continuing at least until the Fed's meeting on Jan. 31.

Downside risks remain

Meanwhile, AVAX shows signs of indecision near $15.75, a strong resistance level supported during the June to November 2022 session.

If the price fails to close above the said resistance line decisively, the likelihood of a correction toward its next support line near $10.50 increases. The same level was instrumental as support in June to July 2021 session, as shown below.

*AVAX/USD three-day price chart. Source: TradingView*

In other words, AVAX risks a 35% drop from its current price levels, a move that could invalidate the falling wedge setup altogether.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

AVAX price rebounds 15% after Crypto Leaks sell-off but Avalanche could still bury bulls

August 31, 2022 Coin Telegraph

Altcoin

AVAX's recovery aligns with similar upside moves across the top-ranking crypto assets.

Avalanche (AVAX) bulls snubbed the sensational claims made by a self-proclaimed whistleblower website that the project's parent firm, Ava Labs, paid lawyers to damage its competitors' reputation.

Avalanche price recovers from serious allegations

AVAX's price established an intraday high of $19.75 on Aug. 30, two days after bottoming out locally at $17.50, amounting to a 15% rise. The token's modest recovery followed selloffs incurred by a sensational CryptoLeaks report.

️ #Avalanche is the top rising topic in #crypto following a claim that its #blockchain was attempting to manipulate regulatory systems. After hitting a 7-week low about 9 hours ago, $AVAX is up +7.5% since. We're watching how news of this unfolds. https://t.co/Ry1mGvdMap https://t.co/OHmNMkpAzS pic.twitter.com/kk3zue4d3G
— Santiment (@santimentfeed) August 29, 2022

AVAX's price fell 3.5% on Aug. 26, the day on which CryptoLeaks released an unverified video showing Kyle Roche, the partner at Roche Freedman, saying that he could sue Solana, one of Avalanche's top rivals, on behalf of Ava Labs.

The token fell by another 7.5% the next day after the whistleblower website released the full report, including another unverified video featuring Roche.

In addition, Avalanche's intraday losses aligned with similar negative moves across other top crypto assets.

AVAX can rise 55%

Avalanche's fundamentals are strongly tied to the overall cryptocurrency market, which keeps it prone to undergoing additional downtrends.

Independent analyst PostyXBT noted that AVAX's price could decline to the $13-$15 range next and to "keep BTC in mind" while placing a short position toward the area.

$AVAX

Textbook short set up forming.

Only concern being deviation caused by $BTC running higher towards $20.8k.

Manage position size accordingly and keep btc in mind when setting invalidation levels pic.twitter.com/8wRgZxkOcv
— Posty (@PostyXBT) August 30, 2022

Analyst BrechTP also anticipates the price to crash toward $14 based on a "head and shoulder" setup, as shown below.

AVAX/USD four-hour price chart. Source: BrechTP

Conversely, analyst TraderSZ sees AVAX's price to continue its recovery trend in the coming days. His setup, as illustrated below, envisions the Avalanche token to reach approximately $30 in September.

*AVAX/USDT two-hour price chart. Source: TraderSZ/TradingView*

The upside target aligns with AVAX's prevailing "symmetrical triangle" setup. Notably, the price has rebounded after testing the triangle's lower trendline as support and now sees the structure's upper trendline as its interim upside target.

The upper trendline is near the TraderSZ's price target of $30, as shown below.

*AVAX/USD weekly price chart. Source: TradingView*

In other words, AVAX could rally by over 55% from its current price levels.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.

Avalanche drops 30% on fears Terra’s LFG will dump AVAX next

May 11, 2022 Coin Telegraph

Altcoin

Luna Foundation Guard is emptying its crypto reserves to bring its stablecoin back to its $1-peg, risking a massive AVAX selloff.

Avalanche (AVAX) is paying the price for being one of the collateral assets that maintain Terra's native stablecoin TerraUSD's (UST) peg with the U.S. dollar.

Major AVAX dump ahead?

AVAX's price dropped about 30% to reach $32.50 on May 11, its lowest level since September 2021. Its massive intraday decline coincided with UST dropping to as low as 23 cents, which effectively dented its stablecoin status among traders and investors alike.

The de-peg incident happened despite Luna Foundation Guard, a Singapore-based nonprofit backed by TerraLabs, emptying its crypto reserves to prop up the UST peg. The firm currently holds 1.97 million AVAX worth nearly $74.75 million, according to data shared by analyst CrypOrca.

*Luna Foundation Guard reserves. Source: CryptOrca*

A similar sentiment can be witnessed in the LUNA market, another crypto LFG holds as collateral to back UST. LUNA's value dropped by 85% on May 11, its worst daily performance.

Bearish AVAX price technicals

Avalanche bulls attempted to save AVAX from falling below a key support line near $36, coinciding with the 0.238 Fib line of the Fibonacci retracement graph stretched from the $0.29-swing low to the $34.52-swing high.

Their efforts helped the token recoup almost 22% of its May 11 losses, with its price rebounding from $32.50 to over $39.50.

But a full-fledged bullish reversal appears unlikely as AVAX's upside retracement faces one strong resistance after another.

Initially, the token now eyes a run-up toward a support-turned-resistance area, marked as the accumulation zone in the chart below. The upside target coincides with the 0.618 Fib line around $67.

A decisive close above the zone could have AVAX test its 50-day exponential moving average (50-day EMA; the red wave) near $69 and its 200-day EMA (the blue wave) around $74 as next resistances.

But AVAX also faces headwinds from a higher interest rate environment that has dampened buying sentiment across the crypto market.

This could prompt the AVAX/USD pair to retest $36 as support for a breakdown move, which risks leading the price toward $20, an important price floor from February-April 2021.

Avalanche eyes 60% rally as AVAX price breaks out of bull flag

December 18, 2021 Coin Telegraph

Altcoin

The bullish setup also emerged as crypto custodian BitGo announced that it would add AVAX to its service portfolio.

Avalanche (AVAX) strengthened its case for a potential upside run towards $160 in the coming sessions as it broke out of a classic bullish pattern earlier this week.

Dubbed "bull flag," the pattern emerges when the price consolidates lower/sideways between two parallel trendlines (flag) after undergoing a strong upside move (flagpole). Later, in theory, the price breaks out of the channel range to continue the uptrend and tends to rise by as much as the flagpole's height.

AVAX went through a similar price trajectory across the last 30 days, containing a roughly 100% flagpole rally to nearly $150, followed by over a 50% flag correction to $72, and a breakout move above the flag's upper trendline (around $85) on Dec. 15.

*AVAX/USD daily price chart featuring Bull Flag pattern. Source: TradingView*

AVAX price continued rallying after breaking out of its bull flag range, reaching almost $120 on Friday but eyeing a further leg up towards its bullish continuation target near $160. The level appeared after adding the height of AVAX's flagpole, which is around $75, to the current breakout point near $85.

A week full of bullish AVAX events

The recent buying period in the Avalanche market picked momentum also because of a flurry of positive catalysts this week.

AVAX jumped nearly 10.50% on Tuesday as Avalanche added the native version of USDC, a dollar-pegged stablecoin issued by Circle, on its blockchain.

Additionally, a report penned by Bank of America analysts published on Dec. 10, called Avalanche a viable alternative to the leading smart contract platform Ethereum. That coincided with AVAX gaining another 16%.

*AVAX/USD daily price chart featuring key events in the week ending Dec. 19. Source: TradingView*

On Thursday, AVAX rallied to its two-week high after BitGo, a crypto custodian with over $64 billion worth of assets under management, announced that it would support the token.

Nonetheless, a modest selloff at the local price top pushed AVAX lower. Th recover Friday as Avalanche announced that it has collaborated with web3 accelerator DeFi Alliance to launch a gaming accelerator program.

1/ Avalanche is collaborating with @DeFiAlliance to bring its accelerator programs to the Avalanche community

Apply by Jan 7 here: https://t.co/6HcJOLxKxA

Before you apply, check these reasons why Avalanche should be your preferred platform: pic.twitter.com/GhdHBhQNgb
— Avalanche (@avalancheavax) December 17, 2021

All the events mentioned above pointed towards the Avalanche ecosystem's growth. For instance, with USDC, the project promised to provide a viable alternative to Ethereum's highly expensive Tether (USDT) stablecoin transactions.

Moreover, by gaining BitGo as AVAX's institutional custodian, Avalanche appears to be prepping for catering to accredited investors. Mike Belshe, CEO of BitGo, explained:

“Institutional custody is not the same as retail custody, and BitGo wallets and custody were designed from the ground up to meet the needs of institutional investors, and BitGo is the only independent qualified custodian focused on building the right market structure and facilities to enable institutions to enter the digital asset space with confidence.”

AVAX price risks

One of the remaining downside risks around AVAX concerns the crypto market performance, on the whole.

In detail, AVAC rallied in a week that witnessed the entire cryptocurrency market capitalization lose more than $114 billion, with leading crypto assets Bitcoin (BTC) and Ether (ETH) plunging over 7% and 5% week-to-date. Concerns over the Federal Reserve's tapering plans catalyzed the market selloff.

Therefore, it appears that traders looked at AVAX as their short-term hedge against the crypto market drop, largely driven by a string of positive news.

*AVAX/BTC weekly price chart. Source: TradingView*

Moreover, the AVAX/BTC pair was up nearly 40% week-to-date at around 0.00245 BTC at the time of writing, with the pair's relative strength index (RSI) entering overbought territory. That could prompt AVAX to weaken against BTC in the coming sessions.

A similar outcome may be possible in AVAX/USD's case as its weekly RSI treads near overbought levels.

However, the pair is likely to retain its bullish bias as long as it holds above its 20-week exponential moving average (20-week EMA) as support. As shown in the chart above, the green wave has been capping AVAX's downside attempts since August 2020.

Bitcoin avoids recent lows as BTC price eyes $60K into the weekly close

November 21, 2021 Coin Telegraph

Bitcoin avoids recent lows as BTC price eyes K into the weekly close

AVAX Price

Things are looking up for Bitcoin bulls after the weekend delivers some much-welcomed relief after multi-week lows.

Bitcoin (BTC) hovered near $59,000 as Nov. 21 came to a close after avoiding a retest of its recent lows.

*BTC/USD 1-hour candle chart (Bitstamp). Source: TradingView*

BTC challenges $60,000

Data from Cointelegraph Markets Pro and TradingView showed BTC/USD almost hitting $60,000 before consolidating in a new higher range after sudden gains Saturday evening.

The pair had hit lows of $55,650 during the week, these marking its lowest point in over a month, but further retests failed to materialize as sentiment improved.

Adopting a calmer perspective into the weekly close, analysts thus looked to the long term to understand the overall health of the market.

"Since breaking its black 200-day EMA, BTC rallied to new All Time Highs. Still over +50% above the 200 EMA, despite the recent retrace from ATHs," Rekt Capital summarized on the day.

"Long-term investor sentiment is still bullish towards Bitcoin."

*BTC/USD 1-day candle chart (Bitstamp) with 200-day moving average (EMA). Source: Rekt Capital/ Twitter*

On-chain metrics supported the reasoned view, with the Crypto Fear & Greed Index in neutral territory at just below $60,000.

Network fundamentals were similarly unfazed by the week's events with the hash rate staying near all-time highs and difficulty still on track to rise modestly at the next readjustment due Nov. 27.

Fellow trader Pentoshi meanwhile identified the area between $59,000 and $61,000 as the point at which it would be prudent to reenter with spot longs should that area be successfully reclaimed.

Gave local top and bottom on $ETH

How I plan to trade it. Looking for LH from here to 4570. *IF* 4570 is flipped then happy to buy back higher

Playing for LH and a 2nd leg down to 36xx

Same with $BTC looking for 59-61. If reclaim = buy back otherwise looking for LH

If = then https://t.co/judmSGFoIu pic.twitter.com/OhyBcpH7uN
— Pentoshi Won’t Dm You. hates Dm’s. DM's are scams (@Pentosh1) November 19, 2021

"Overall, super cycle and lengthening cycle for Bitcoin is still the case," Cointelegraph contributor Michaël van de Poppe added.

Ethereum, Avalanche lead a slow altcoin market

On the topic of altcoins, Ether (ETH) constituted one of the most solid performers out of the top-10 cryptocurrencies by market cap Sunday, amid broadly flat action.

ETH/USD traded up 2.3% at the time of writing, while outlier Avalance (AVAX) delivered 12% returns over 24 hours and entering the top-10 for the first time to push out Dogecoin (DOGE).

*ETH/USD 1-hour candle chart (Bitstamp). Source: TradingView*

Despite Saturday's abrupt upturn, BTC/USD was still around 1.8% higher.

Avalanche pushes out Dogecoin from top-10 after AVAX price soars 100% in November

November 21, 2021 Coin Telegraph

Altcoin

The market cap of AVAX touched $30.32 billion for the first time in history.

Avalanche (AVAX) is now the tenth-largest cryptocurrency by market capitalization after more than doubling in price since the start of November.

AVAX entered the top-10 crypto index after pushing out Dogecoin (DOGE). In doing so, its circulating market valuation reached $30.60 billion for the first time compared to Dogecoin's $30.30 billion.

*AVAX circulating market cap. Source: CoinMarketCap*

AVAX price hits another record high

AVAX price climbed while ignoring price corrections elsewhere in the crypto market after Nov. 10.

Notably, Bitcoin (BTC) plunged by nearly 20% from its record high of $69,000, and Ether (ETH) — the second-largest cryptocurrency by market cap and Avalanche's top competitor — slipped by 19% from its all-time high at around $4,867.

Nonetheless, their downside sentiment failed to impact AVAX over the past 10 days. The Avalanche token rallied by more than 64% in the period of Bitcoin's and Ethereum's price correction, hitting one record high after another, as shown in the chart below.

*AVAX/USD daily price chart versus BTC/USD and ETH/USD. Source: TradingView*

On Nov. 21, AVAX reached $141.50, its best level to date, after rising by nearly 25% in two days.

Deloitte FOMO

AVAX broke its positive correlation with BTC and ETH in the days leading up to "Big Four" accounting firm Deloitte's decision to build its disaster relief platforms atop the Avalanche blockchain platform.

According to Deloitte's press release published on Nov. 17, the "Close as You Go Service" aims to simplify "disaster reimbursement applications for victims of natural disaster, by aggregating and validating the documentation required for funding."

The high-profile partnership prompted analysts to anticipate higher demand for AVAX, which operates as a basic unit of account between the multiple subnetworks on the Avalanche platform and as a currency that users could stake on the network to earn passive incomes.

Pseudonymous market analyst Seq tweeted a rocket emoji to indicate its long-term bullish outlook for AVAX, adding that Deloitte's partnership with Avalanche would enable more exponential parternships.

"It can be difficult to grasp the scope of Avalanche," wrote Seq, adding that the project has witnessed "incredible growth" despite launching just one blockchain.

Deloitte, the largest professional services firm in the world, spanning 150 countries & 20K professionals, provide consultancy & delivering solutions for enterprises, including 90% of the Fortune 500

This is not only a big partnership, but one that will enable exponentially more https://t.co/Y005ZPzr5w
— Seq (@CryptoSeq) November 20, 2021

In detail, Avalanche aims to feature multiple chains, with some performing core functions while others being more application-specific. Meanwhile, all non-core blockchains (called subnets) must depend on validators that stake AVAX on any of Avalanche's three base platforms, dubbed P-Chain, X-Chain, and C-Chain.

*Avalanche network in a nutshell. Source: Avalanche Documentation*

There is "only the C-Chain," wrote Seq, noting that it is just one blockchain "in [one] of an infinite number of subnets that are possible." The analyst added:

"We are just scratching the surface of its potential, and has only been 14 months since mainnet! Avalanche is just getting started!"

Avalanche soars to new highs after Deloitte adoption — But risks emerge for AVAX price

November 18, 2021 Coin Telegraph

Adoption

The "Big Four" accountant announced that it would leverage Avalanche's blockchain for a new project.

Avalanche (AVAX) rose to a new price high on Nov. 18 and posted weekly gains after its developer, Ava Labs, entered a partnership with "Big Four" accountant firm Deloitte.

The AVAX price reached a little over $110 after rising circa 16% week-to-date (WTD), with its circulated market cap hitting $23.76 billion, almost 0.93% of the total crypto market cap.

In contrast, AVAX's top rival tokens, including Bitcoin (BTC) and Ether (ETH), fell by over 13% and 12.50% WTD, respectively.

*Top 15 crypto tokens and their performance in the past seven days. Source: TradingView*

AVAX adoption FOMO

AVAX picked its bullish cues from Deloitte's decision to use the Avalanche blockchain for building a disaster relief platform.

The deal, according to Avalanche's founder Emin Gün Sirer, would "help state and local governments easily demonstrate their eligibility for federal emergency funding." Avalanche's blog post further noted that their blockchain solutions would assist Deloitte in "minimizing fraud, waste, and abuse," which is prevalent in existing disaster management solutions.

In detail, AVAX works as an in-house payment method for Avalanche, i.e., a basic unit of account between the multiple subnetworks created on the Avalanche platform. Users also employ AVAX to earn passive income by staking their coins on the network.

AVAX's potential use case in the upcoming Deloitte disaster management systems prompted traders to make bold bullish calls. Newsquake, a Cointelegraph Markets Pro service, successfully identified the bullish sentiment as a potential market-moving event in real-time ahead of the AVAX price boom.

*VORTECS™ Score (green) vs. AXS price. Source:* *Cointelegraph Markets Pro*

Meanwhile, the Cointelegraph Markets Pro's VORTECS™ Score flipped green on Nov. 12, prior to AVAX climbing to new highs. The VORTECS™ Score is an algorithmic comparison of historical and current market conditions derived from a combination of data points including market sentiment, trading volume, recent price movements and Twitter activity.

AVAX technical outlook

Pseudonymous market analyst "Seq" tweeted a rocket emoji sign to indicate their long-term upside bias for the Avalanche token based on the Deloitte adoption.

Probably nothing, only Deloitte, the largest accounting firm in the world that provides services to nearly 90% of the Fortune 500 choosing Avalanche for a federally approved disaster recovery platform to help state and local governments with federal emergency funding!$AVAX https://t.co/GHzIWuSjfx
— Seq (@CryptoSeq) November 16, 2021

Another analyst, Nico, noted that AVAX's latest price climb accompanied a rise in trading volumes, proving that the current climb had strong momentum behind it, adding:

"Looking for it to HODL around the ATH area, aiming for a retest/flip as continuation. If happens, then looking for $210k+"

Nevertheless, AVAX's climb this week also made it an overbought asset based on its relative strength index (RSI) signals. As a result, AVAX became overheated.

The AVAX price dropped by more than 10% on Nov. 18 after hitting its record high of $110. Furthermore, the selling pressure intensified as the Avalanche token tested its upward sloping resistance trendline (dotted) that constituted a rising wedge in conjugation with the lower ascending trendline support below (the black trendline).

Ideally, the AVAX price may continue rising until/ahead of hitting the apex (the point at where its two trendlines converge). Then, it would risk dropping lower by as much as the maximum height between the two trendlines. That roughly puts AVAX en route to $90.

A clear bearish divergence between a rising AVAX price and its falling RSI also hints at the token's weakening upside momentum.

AVAX Price

AVAX price chart paints bearish divergence

Avalanche price risks drop 30% in February

AVAX price breakout underway

Avalanche's Amazon partnership

Macro boosts bullish scenario

Downside risks remain

Avalanche price recovers from serious allegations

AVAX can rise 55%

Major AVAX dump ahead?

Bearish AVAX price technicals

A week full of bullish AVAX events

AVAX price risks

BTC challenges $60,000

Ethereum, Avalanche lead a slow altcoin market

AVAX price hits another record high

Deloitte FOMO

AVAX adoption FOMO

AVAX technical outlook

Share this video