Short-Term V-Shaped Surge in AVAX Fizzles as Momentum Falters

Avalanche Faces Bearish Pressure Despite Brief Recovery Attempt

Avalanche’s AVAX token ($17.54) remains under pressure as sellers keep the price trapped in a downward channel, even after a sharp bounce hinted at a possible recovery, according to technical analysis by CoinDesk Research.

Over the past 24 hours, AVAX slipped 1.4% to around $18.43, lagging behind the broader CoinDesk 20 index, which fell 0.5%.

Although AVAX has seen some aggressive buying on dips, the overall momentum remains weak in the short term.

Key Technical Insights:

• AVAX experienced significant volatility over the past day, swinging within a $0.84 range (about 4.5%), with highs of $18.93 and lows of $18.09.
• Solid support has formed in the $18.15–$18.25 area, while resistance continues to hold firm near $18.85–$18.90.
• The price structure is still confined within a descending channel, signaling that bears are maintaining control for now.
• A swift V-shaped rebound occurred when AVAX dropped from $18.35 to $18.09 on high volume of 52,056 units, only to quickly climb back to $18.40.
• The recovery gathered momentum once AVAX broke above resistance at $18.27 on strong trading volume exceeding 67,000 units, creating a new support zone between $18.33 and $18.35.
• Following the rebound, the price entered a period of sideways consolidation, punctuated by three minutes of zero trading volume, suggesting a temporary pause as traders wait for clearer signals.

Traders are watching closely to see whether AVAX can break out of its downward channel or if renewed selling will push prices lower once again.