- Avalanche (AVAX) faces turbulence amid FOMC-driven market uncertainty, declining by 8.77% in the last 24 hours.
- Short-term concerns persist, but AVAX’s resilience maintains key support levels and a bullish market structure, fueling optimism.
- A Cup & Handle pattern on the two-week chart suggests a potential breakout, targeting $108.80, $165.50, and an ambitious $221.50 level.
Avalanche (AVAX) faced a sharp decline recently, entering a “trublance” phase. Market turbulence followed the Federal Open Market Committee’s (FOMC) interest rate cuts, which initially seemed to bring relief. However, remarks from Federal Reserve Chair Jerome Powell sparked concerns. Powell’s projections for 2025 outlined fewer rate cuts than anticipated, creating uncertainty across crypto and equities markets.
Avalanche Price Slides Amid Market Volatility
Altcoins, including Avalanche, bore the brunt of the market downturn in the past 24 hours. At the time of writing, AVAX trades at $42.69, marking an 8.77% decline in the last 24 hours. The token recorded a 24-hour trading volume of $1.94 billion, with a market capitalization of $17.49 billion, representing a market dominance of 0.49%.
While the short-term decline reflects market-wide concerns, Avalanche remains resilient. Despite the dip, AVAX holds its key support levels, maintaining a bullish structure. Investors are optimistic about a potential breakout that could lead to significant gains.
Avalanche (AVAX) Breakout Could Ignite $221 Rally
Market analysts have identified a bullish Cup & Handle pattern on Avalanche’s two-week chart, which could signal a powerful upward movement. According to crypto analyst Alex Clay, AVAX is approaching a critical resistance zone that combines descending resistance, a key horizontal level, and the neckline of the Cup & Handle formation.
If Avalanche (AVAX) breaks key resistance levels, it could trigger a surge. The first target is $108.80 (1.618 Fibonacci level), followed by $165.50 (2.618 level). The final ambitious goal is $221.50 (3.618 level), signaling significant bullish momentum.
Despite the broader market challenges, Avalanche’s fundamentals and technical indicators remain promising. A breakout above the resistance confluence could attract fresh buying interest and potentially pave the way for the token to achieve these lofty targets. While short-term price swings reflect market jitters, AVAX’s long-term trajectory appears strong, with strong community support and increasing adoption of its blockchain ecosystem.
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