The cryptocurrency market is showing positive momentum to start November, with Bitcoin and Ethereum both up in value. Avalanche (AVAX) is also exhibiting strength, displaying early signs of potential growth. 📈
With modest gains today, AVAX’s chart shows a key bullish pattern formation suggesting a possible breakout in the coming sessions.
The descending broadening wedge pattern on its 2-hour chart is a positive indicator, often appearing during downtrends and signaling a potential trend reversal when price breaks upwards.
During recent dips, AVAX tested support near $17.53, with buyers stepping in to defend the level. Since then, prices have rebounded and are now climbing towards $18.65. ⬆️
The price is nearing the upper boundary of the wedge pattern, and range narrowing has begun – a condition that often precedes sharp breakout moves.
What’s Next for AVAX?
If bulls can push AVAX above the upper trendline and reclaim the 100-day moving average at $19.50, this could trigger a strong upward breakout, aiming to reach the $22.50 region – a 20% gain from current levels.
However, a rejection near the upper wedge boundary could delay the breakout, keeping AVAX in a consolidation phase for now. The key support level to monitor is $17.75.
Overall, the technical outlook looks promising, and if broader market momentum continues, AVAX could become a leading player within the next crypto rally.