Avalanche (AVAX) – Sellers are attempting to rekindle the medium-term negative bearingPosted on Thursday, December 8 2022 at 9:37 pm GMT+0000
Avalanche (AVAX) sellers are attempting to rekindle the medium-term negative bearing following a minor recovery, in association with the 40-day exponential moving average, which managed lately to neutralize the bullish pressures.
The 20- and 40-day exponential moving averages are negatively charged and the oscillators are suggesting that the negative impetus is ready to jump-start. The Stochastic %K line has fallen without a parachute from the overbought territory and slid below the %D line, before stabilizing just above the equilibrium level of 50 while the ROC is currently on the verge of nudging below the zero line.
Hence, sellers seem to be eying a retest of the previous daily bottom but will become more confident that the descent will gain more legs following a decisive move below that support hurdle at 11.44. In such a scenario, those are expected to target the 161.8% Fibonacci golden number of the last up-leg at 9.65. A more aggressive decline could last until the 261.8% Fibonacci extension level at 6.76.
On the other hand, if buyers re-emerge, they will immediately rechallenge the 40-day exponential moving average, residing near the 13th of October bottom at 14.45. A move higher will initially test the 29th of August bottom of 17.49, while further north the 5th of November top at 20.60 will step under the radar.
All in all, Avalanche is surrounded by bearish vibes and a drop beneath 11.44 will open the gate for additional negative actions.