AVAX Technical Analysis: 29 APR 2025
AVAX is forming a potential bullish flag! Source: TradingView
General View
AVAX has been steadily building momentum. On the higher time frame, the price recently broke out from a classic cup and handle formation. The recent sideways movement appears to be a healthy retest of that breakout zone, and so far, the reaction has been positive. Now, on the lower time frame, a potential bullish flag is forming, signaling consolidation after the strong rally. If bulls continue to defend current levels, this could set the stage for another leg higher.
On The Upside
The bullish flag pattern currently unfolding is a textbook continuation signal. A breakout above the upper trendline of the flag around the $22.40 to $22.60 zone could trigger another move higher, possibly targeting the next resistance levels near $24.00 and beyond. Additionally, the sooner bulls pull the breakout, the stronger the move will be.
On The Downside
If price fails to hold the lower trendline of the flag, currently near $21.30, the structure may break down into a deeper retracement back towards the breakout supports at $21.00 to $20.70 levels. This is the support that is essential for bulls to hold in order to honor the prevailing structure.
Cup and Handle breakout was followed by a perfect bullish retest. Source: TradingView
