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Market Analysis – January 1
AVAXUSD remains pressured as bearish structure dominates the daily timeframe. AVAXUSD continues to trade within a broader downward phase, with overall market behavior aligning bearishly across trend and momentum indicators. Price remains capped below the short-term moving average near $12.90–$13.00, highlighting limited upside traction. Momentum signals remain subdued, with the MACD struggling to sustain positive separation, indicating that recovery attempts lack depth and conviction. This environment reflects a market still governed by supply rather than renewed demand.
AVAXUSD Key Levels
Resistance Levels: $17.30, $22.80 Support Levels: $12.50, $8.60
AVAXUSD Long-Term Trend: Bearish
Price action shows repeated rejection beneath the $15.60–$17.30 resistance band, confirming it as a distribution zone. The recent consolidation near $14.00 appears corrective in nature following the prior selloff, rather than a true base formation. Structurally, lower highs and compressed rebounds suggest sellers are defending overhead levels aggressively. The inability to reclaim $15.60 reinforces the bearish bias and keeps downside risk elevated.
Looking forward, AVAXUSD is vulnerable to renewed weakness if price fails to sustain above the $12.50 support area. A decisive breakdown below this level would likely expose the market to a deeper decline toward $8.60, where historical demand previously emerged. While short-term pauses are possible, the broader outlook favors continuation lower unless price reclaims $17.30 decisively. Until then, rallies are likely to be treated as selling opportunities within the prevailing downtrend.
AVAXUSD Short-Term Trend: Bearish
AVAXUSD is showing a bearish reaction on the four-hour chart after tapping into a well-defined 4H supply/order block near the $14.50–$14.70 region. Price rejection from this zone suggests weakening bullish momentum and a high probability of mean reversion.
The move is extended above short-term averages, increasing the risk of a pullback as buying pressure fades. A downside continuation could target the $13.20–$12.50 support range if sellers gain control, aligning with recent crypto signals.
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