- There has been a surge in the number of active users of Avalanche crypto.
- The trading volume of the AVAX crypto has also witnessed a surge.
Avalanche is a scalable, eco-friendly blockchain platform for DeFi and enterprise solutions, launched in September 2020.
It features the C-chain for smart contracts, the X-chain for fund transfers, and the P-chain for staking. Developed by Emin Gün Sirer and the team at Cornell, AVAX supports high transaction throughput and Ethereum compatibility.
The price of the Avalanche crypto has been consistently declining over the last few months, and following the last 24 hours, the price has declined by 5.17% in the last 24 hours from the press time.
There has also been a surge in crypto trading activity, following which the crypto trading volume has advanced by 25%. This further results in a traded value of $423.323M.
Following the surge in the volume, the number of daily active users has advanced by 51% in the last 30 days, resulting in 60K users. Despite this, the crypto’s total value has declined over the last few days. This shows a decline in the confidence of investors in crypto.
Avalanche Crypto Derivatives Data Overview
The trading volume of derivatives for crypto has further witnessed a surge of 24% in the last 24 hours from the time of writing. This shows that there has been an advance in the trading activity of crypto derivatives.
The open interest in crypto further has declined by 2.8% in the last 24 hours, which is a decline in the number of open positions in crypto. This further follows a long/short ratio of 0.9743.
Moreover, the recorded long liquidation for the crypto is much higher than the short liquidation for the crypto, which shows sellers’ dominance. Additionally, the recorded long liquidation for the crypto is worth $1.18M, and the short liquidation for the crypto is valued at $156.15K.
What Does AVAX Crypto Technical Charts Say?
AVAX is currently trading in a strong downtrend, indicating sellers’ dominance in its price. This suggests negative sentiment in the crypto and the possibility of further price decline.
The overall price chart for AVAX reveals a significant decline over recent months, descending from a swing high of $65.38. Following this downturn, crypto has declined below crucial support levels and continues to decline in price.
If AVAX breaks above the $42.00 level and maintains that position, it could signal a strong upward surge. Sustained trading above this key resistance point may lead to considerable gains in the cryptocurrency’s price.
AVAX/USD Chart by TradingView
A fresh death cross of the 50-day and the 200-day EMA can be seen on the daily chart of the AVAX crypto. Following this, the crypto price has also sustained below the following EMAs, showing a strong declining momentum in the crypto.
The MACD and the signal line are trading in a death cross and have declined to a negative trajectory. The histograms on the chart further support the bears as bearish histograms are formed on the daily chart.
The RSI has declined below 30, showing strong declining momentum in the AVAX crypto price. It further has sustained below the 14-day SMA on the charts.
Summary
The AVAX crypto is experiencing a consistent decline, with a 5.17% drop in the last 24 hours and bearish technical indicators such as a death cross in EMAs, negative MACD trajectory, and RSI below 30. Despite increased trading volume and active users, investor confidence is waning, indicating potential further downside.
The upcoming support levels for the AVAX crypto can be $12.0 and $18.50, followed by the resistance levels of $42.00 and $50.0.
Disclaimer
This article is for informational purposes only and provides no financial, investment, or other advice. The author or any people mentioned in this article are not responsible for any financial loss that may occur from investing in or trading. Please do your research before making any financial decisions.