AVAX Suffers 9% Decline as Worldwide Economic Tensions Weigh on Digital Assets

Avalanche’s AVAX token is under significant pressure amid continuing global economic uncertainties. Over the past 24 hours, AVAX has dropped approximately 8.5%, reflecting the broader market’s cautious stance amid escalating trade tensions.

The token briefly found footing near the $19.97 level, forming what could be a double bottom pattern — a classic technical signal that may indicate a potential reversal. Despite this, bearish momentum remains firmly entrenched.

Technical Breakdown

• AVAX’s price fell steeply from $21.84 to $20.11 within 24 hours.
• Heavy selling volume (2.56 million tokens traded) accompanied a rapid decline from $21.49 to $21.01.
• Buying interest emerged around the $20.00 mark, registering 1.73 million tokens traded, offering some support.
• A volatile bounce saw AVAX climb to $20.38 before sellers pushed it down to a session low of $19.97.
• The double bottom formation at $19.97 was confirmed with increased buying volume, pushing AVAX up to $20.13.
• Currently, the token is consolidating between $19.97 and $20.35, with resistance at the upper end keeping recovery efforts in check.

While the double bottom pattern offers a glimmer of hope for bulls, AVAX’s near-term outlook remains cautious. Sustained macroeconomic pressures could continue to limit upside potential until clearer market direction emerges.