• Avalanche [AVAX] fell from $20.24 to stand at $19.73, a loss of 2.5%.
• A level of support with a pocket of liquidity at $18 meant Avalanche retained strong support despite recent selling.
• Higher timeframe analysis showed that Avalanche could be set for a dip toward $18.7 and the $17.8 levels.
Overview
Bitcoin [BTC] fell beneath the $23k mark over the past few hours of trading and much of the crypto market stood in the red for the day. Avalanche [AVAX], too, noted losses during the day’s trading, falling from $20.24 to stand at $19.73, a loss of 2.5%.
Support Level
A level of support with a pocket of liquidity at $18 meant Avalanche retained strong support despite recent selling. Bullish traders can wait for a bounce and a lower timeframe bullish market structure before looking for entries to long positions, while higher timeframe bulls can wait for AVAX to drop into an area of interest between $17.5-$18.6 before entering their positions as this zone represented strong buyers when breached in late January 2023 due to signifying bullish dominance then. Further south, AVAX has a level of support at $16.8 and at $15.77 – if it closes beneath this point on a daily session, it’ll flip its structure bearish until then though buying at important supports is risky due to waning bull momentum indicated by dropping RSI towards neutral 50 yet rising OBV showing buying pressure still exists in market participants who are still positioned bullishly thanks to positive funding rate that hasn’t yet flipped strongly either way..
Open Interest & Funding Rate
Open Interest spiked upward on 28 January but has since made several lows while AVAX reached its peak price around then too before weakening OI further even with bearish divergence RSI made with price yet funding rate remains positive which suggests market participants remain bullishly positioned so far even as OI weakens..
Realistic Market Cap
Realistic or not, here’s AVAX’s market cap in BTC’s terms – it was worth 0 BTC when Bitcoin crashed beneath 22 very but now stands higher than that so investors could look at entering long positions once possible bounce happens off significant support level if they’re willing take risk involved by doing so..
Disclaimer
The information presented does not constitute financial, investment, trading or other types of advice and is solely the writer’s opinion – buyers should conduct their own research before making any decisions based on what they read here as there may be risks involved depending on individual’s personal circumstances..