AVAX, the native token of the Avalanche protocol, presented a mixed experience for investors in March. The altcoin initially rose more than 64%, trading above $65 for the first time since May 2022, before falling 18.44% over the past two weeks.
Unsurprisingly, AVAX’s price movement has attracted a lot of attention from both investors and market experts. Notably, a popular crypto analyst with the handle X, Rekt Capital, has advised against panic, stating that the altcoin’s recent decline could be quite beneficial for investors.
AVAX will return to $65-$70 price zone, analyst remains confident
In a post on X on March 30, Rekt Capital shared that AVAX has seen an overall decline since encountering the $65-$70 price zone in mid-March. However, the analyst described this price drop as a “healthy drop” that could result in the token returning to previously high levels.
Avalanche rose to the $65 to $70 area.
And now it is falling towards December 2023 highs (red)
This is a healthy drop to prepare AVAX for the next uptrend back to the $65-$70 area over time.#AVAX #Crypto #Avalanche https://t.co/o7s9sU4eIN pic.twitter.com/5QJG2e581Y
-Rekt Capital (@rektcapital) March 30, 2024
Currently, AVAX trades in the $52-$54 range, but Rekt Capital predicts the altcoin is heading towards the $44-$49 region, which represents its highest prices recorded in December 2023. Upon entering this price zone, Rekt Capital expects the token to find support and embark on an uptrend back to the $65 to $70 region.
However, in the presence of overwhelming downward pressure, the analyst’s technical analysis revealed that AVAX could fall further to around $32.66, indicating a potential price decline of 39.62% and 49.9% relative to the currency’s current price and its peak price in March, respectively.
Avalanche (AVAX) Price Overview
At the time of writing, AVAX was trading around $53.50 with no significant price movement in the last day while recording a decline of 0.51% in the last week based on data from CoinMarketCap. Meanwhile, the crypto asset’s trading volume fell by 16.62% and was valued at $370.86 million.
However, AVAX has generally been one of the best performing assets over the past six months, boasting a market gain of 471.35% in this period. Notably, in December 2023, the altcoin rose by around 150%, going from $20.41 to a monthly high of $49.98.
Outside the market, AVAX has also made some positive progress. More recently, the Avalanche network announced a collaboration with the Chainlink blockchain and the prestigious Australia and New Zealand Banking Group (ANZ) with the aim of exploring the use of cryptographic assets in global financial settlement systems. The use of AVAX in such a project would greatly expand the adoption of the token, which would have a positive effect on its market price.
AVAX trading at $53.30 on the daily chart | Source: AVAXUSDT chart on Tradingview.com
Zipmex Featured Image, Tradingview Chart
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