{"id":547228,"date":"2023-02-02T19:07:13","date_gmt":"2023-02-02T16:07:13","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/avalanche-bull-trap-risks-pushing-avax-price-down-by-30-in-february\/"},"modified":"2023-02-02T19:07:13","modified_gmt":"2023-02-02T16:07:13","slug":"avalanche-bull-trap-risks-pushing-avax-price-down-by-30-in-february","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/avalanche-bull-trap-risks-pushing-avax-price-down-by-30-in-february\/","title":{"rendered":"# Avalanche \u2018bull trap\u2019 risks pushing AVAX price down by 30% in February"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a3c58ca826bc\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a3c58ca826bc\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/avalanche-bull-trap-risks-pushing-avax-price-down-by-30-in-february\/#%E2%80%9D_Avalanche_%E2%80%98bull_trap_risks_pushing_AVAX_price_down_by_30_in_February_%E2%80%9C\" >&#8221; Avalanche \u2018bull trap\u2019 risks pushing AVAX price down by 30% in February &#8220;<\/a><ul class='ez-toc-list-level-2' ><li class='ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/avalanche-bull-trap-risks-pushing-avax-price-down-by-30-in-february\/#AVAX_price_chart_paints_bearish_divergence\" >AVAX price chart paints bearish divergence<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/buradabiliyorum.com\/en\/avalanche-bull-trap-risks-pushing-avax-price-down-by-30-in-february\/#AVAXs_price_risks_drop_30_in_February\" >AVAX\u2019s price risks drop 30% in February<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9D_Avalanche_%E2%80%98bull_trap_risks_pushing_AVAX_price_down_by_30_in_February_%E2%80%9C\"><\/span>&#8221; Avalanche \u2018bull trap\u2019 risks pushing AVAX price down by 30% in February &#8220;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<div class=\"post-content\" data-v-5a4050f8>Avalanche (AVAX) bulls should brace themselves for impact led by a growing divergence between several key indicators on the daily-timeframe chart.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"AVAX_price_chart_paints_bearish_divergence\"><\/span>AVAX price chart paints bearish divergence<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The daily AVAX chart shows a classic\u00a0bearish divergence between its price and relative strength index (RSI), a momentum oscillator forming since Jan. 11.<\/p>\n<p>In other words, the price of AVAX has been making higher highs since the said date. But, on the other hand, the coin\u2019s daily RSI has been forming lower highs. This divergence suggests a slowdown in the momentum of the AVAX\/USD pair, which may lead to a price reversal.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2023-02\/f1cace27-a1cb-4d08-947b-eaa7d5ecdb19.png\"><figcaption style=\"text-align: center;\"><em>AVAX\/USD daily price chart. Source: TradingView<\/em><\/figcaption><\/figure>\n<p>In addition, the declining volumes during the course of AVAX\u2019s ongoing uptrend also hint at the same bearish cues.<\/p>\n<p>The price-RSI and price-volume divergences <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>ear as AVAX price continues its 2023 uptrend. Notably, Avalanche has rallied by more than 100% year-to-date to $22.50 as of Feb. 2, helped by improving risk-on sentiments and <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">news<\/a> of its partnership with Amazon.<\/p>\n<p>On Jan. 31, Avalanche partnered with Intain, a structured finance platform that facilitates more than $5.5 billion in assets across more than 25 deals to run its digital marketplace IntainMARKETS via IntainMARKETS Subnet.<\/p>\n<p>The price of AVAX rallied nearly 20% after the announcement.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"AVAXs_price_risks_drop_30_in_February\"><\/span>AVAX\u2019s price risks drop 30% in February<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>AVAX\u2019s price has successfully closed above two key resistance levels: a multi-month descending trendline (blacked) and its 200-day exponential moving average (200-day EMA; the blue wave) during the ongoing rally.\u00a0<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2023-02\/d3009f04-a37d-42cf-b9e8-e93954089f50.png\"><figcaption style=\"text-align: center;\"><em>AVAX\/USD daily price chart. Source: TradingView<\/em><\/figcaption><\/figure>\n<p>Avalanche now eyes a breakout above $22.75, which has been serving as resistance since August 2022, for a potential breakout to $30 as its next upside target. This level also coincides with the falling wedge breakout target discussed in this analysis.<\/p>\n<p>In other words, an approximately 30% gain from the current price levels.\u00a0<\/p>\n<p>Conversely, a pullback from the resistance level, fueled by the bearish divergence indicators discussed above, could send AVAX\u2019s price toward its 50-day EMA (the red wave) at approximately $15\u2013$16, down about 30% from current prices.<\/p>\n<p class=\"post-content__disclaimer\">This article does not contain investment advice or recommendations. 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AVAX price chart paints bearish divergence The daily AVAX chart shows a classic\u00a0bearish divergence between its price and relative strength&#8230;<\/p>\n","protected":false},"author":1,"featured_media":547229,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/s3.cointelegraph.com\/uploads\/2023-02\/2521f5ab-d81e-402d-9018-7c80108eb716.jpeg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74867,88119,120396,74939,139351,78261,2758,73785],"class_list":["post-547228","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-altcoin","tag-altcoin-watch","tag-avalanche","tag-market-analysis","tag-subchain","tag-tech-analysis","tag-amazon","tag-markets"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/547228","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=547228"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/547228\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/547229"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=547228"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=547228"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=547228"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}