Geopolitical Shockwaves Hit Crypto Markets
The cryptocurrency market experienced sharp volatility following Israel’s military strikes against Iranian targets, causing a significant downturn across major digital assets. Among the hardest-hit was Avalanche’s native token, AVAX, which saw a 13% correction in 24 hours, reflecting broader market unease.
AVAX plunged from $21.26 to a low of $18.57, marking a steep 12.65% decline.
Technical Indicators Show Stabilization
Despite the initial sell-off, AVAX found strong buyer interest in the $18.57–$18.70 range, suggesting potential for short-term stabilization. Technical patterns indicate a consolidation phase is forming, with price now oscillating between support and resistance zones.
A developing ascending channel shows resistance at $19.52, indicating a possible bounce-back if current support holds.
In recent hours, AVAX recovered from $19.04 to $19.13, showing a 0.45% intraday gain, with support levels now forming at $19.06.
Volume Spike Signals Accumulation
Trading activity surged, with 86,895 units exchanged, pushing AVAX to session highs near $19.26. The strong buying volume suggests institutional or whale accumulation at lower levels.
High volume support zones could signal that AVAX has bottomed—at least temporarily—amid market-wide uncertainty.
Market-Wide Crypto Drop Confirmed
The broader crypto market reflected similar volatility. A key index tracking the top 20 cryptocurrencies (excluding stablecoins and memecoins) fell 6.2% over the past 24 hours, driven largely by global geopolitical risks and panic selling.
What to Watch Next for AVAX
- Support Zone: $18.57–$18.70 remains critical. A breach could signal further downside.
- Resistance Level: Watch $19.52 for a breakout confirmation.
- Volume Trends: Sustained high volume above $19 could suggest a recovery.
AVAX’s next moves will depend on both geopolitical developments and market sentiment toward high-risk assets.
Summary
AVAX has shown relative strength after a sharp correction, with clear technical signs of stabilization and accumulation at key support levels. While the geopolitical backdrop continues to drive volatility, strong volume and defined technical zone suggest that traders are watching this level closely for a potential rebound.