AVAX Price Reflects 2021 Surge; Expert Predicts a Target of $347 for Avalanche

As Tuesday’s trading unfolded, an optimistic wave hit the crypto markets ahead of the United States selecting their next, the 47th, president. Analysts posit that the presidential election of 2024 could energize a bullish phase for cryptocurrencies, evidenced by parallels drawn with Avalanche’s price surge in 2021.

Current crypto market updates reflect that Avalanche (AVAX) is trading at $24.6, marking a 5.6% rise within a day. As per CoinGecko, Avalanche’s market capitalization stands at $9.8 billion, with a 24-hour trading volume touching $354.2 million.

Avalanche Price Movement Echoes 2021, Possible Uptick to $347 Foreseen

Crypto commentator fabioviriba recently tweeted a chart comparison suggesting that AVAX’s current price behavior is reminiscent of its past rally in 2021. This previous rally was a composite of prolonged accumulation, an initial rise, and a corrective phase before the main surge.

Such a pattern previously resulted in a monumental climb from $3 to $147, marking a rise of 4,800%. Speculation regarding the impact of the impending U.S. presidential election on cryptocurrencies has inspired a foundation for growth in various altcoins, AVAX included. In the preceding five weeks, AVAX has exhibited lateral trading, struggling to consistently break above the $30 mark.

The daily chart reveals a bullish reversal pattern known as an inverted head and shoulders forming. Anticipating a breakout from this pattern, the analyst projects a potential rally to $347, translating to a 1340% increase.

AVAX on the Verge of Bullish Shift Amidst Whale Transaction Spike

Significant wallet holders seem to be reengaging as the Avalanche price is on the cusp of a bullish turn. Data from Intotheblock shows a swell in large transactions, reaching 671 on November 3. 

The increase in sizable dealings implies greater engagement from whale and institutional investors, likely to uplift the altcoin’s price. Historical data confirms that such whale activities are often precursors to notable market movements.

The global In/Out of the Money (GOIM) indicator suggests that Avalanche might encounter a steep resistance at $28.79, where approximately 26.63 million AVAX are held by 1.1 million addresses. Another considerable resistance level could be at $44.82, supported by the holdings of 19.66 million AVAX by 1.09 million addresses.

Sahil Mahadik

Sahil is a full-time trader with three years in the markets. Focused on technical analysis, he has embraced cryptocurrency and continues to seek trading opportunities.

Disclaimer: The content includes the author’s opinion and is based on market conditions. Do your research before investing. The author or the publication is not liable for your financial loss.