AVAX drops 7% before bouncing 5% as buyers defend key support
Avalanche (AVAX) experienced volatile trading this week, with the token falling nearly 7% in a sharp intraday correction before staging a 5% rebound. The move underscores the growing importance of key support zones as traders watch whether momentum can sustain the asset’s recent rally.
The 4-hour chart shows AVAX climbing aggressively toward the $35–$36 resistance zone before sellers stepped in, pushing the price lower. The decline briefly tested support near $29–$30, an area that has acted as a high-demand level in recent weeks.
From there, buyers re-entered the market, driving the token back above $32.90 at press time. This rebound highlights how market participants continue to defend local supports, with trading volume remaining elevated during the recovery.
Analysts point to the $30 region as a crucial pivot zone. A sustained hold above this level could open the door for a retest of recent highs near $35–$36, while a breakdown may risk a deeper move toward $27.
According to BITX market analysts, “Avalanche’s ability to bounce after a steep decline shows that buyers are not backing down. The $30 zone has become a line in the sand for short-term traders.”
According to BITX , “The rejection at $36 was expected given the strong overhead supply. The key question now is whether AVAX can build enough momentum from current levels to challenge that resistance again.”
The recent 7% drop followed by a 5% rebound illustrates the push-and-pull between bulls and bears in the Avalanche market. With the broader crypto sector also showing heightened volatility, AVAX remains sensitive to wider sentiment shifts.
For now, traders are closely monitoring the $30 support and $35 resistance levels as decisive boundaries. Holding the current range could provide the base for a breakout, while losing momentum risks a correction back toward lower consolidation zones.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.