AVAX Falls from $26.80 to $20.00 – Will Bulls Regain Control or Is More Downside Ahead?

Is Avalanche (AVAX) ready for a bullish rebound, or is AVAX recent price fall a sign of ongoing weakness? AVAX only managed to go as high as an all-time high of $26.80 before it was met with stubborn resistance, sending it plummeting to $20.00. This volatility signals ongoing market indecision. The final breakout attempts and pullbacks show good resistance levels, so we cannot say whether AVAX is ready to reverse the trend or continue falling. Here, in this analysis, we will verify the key support and resistance levels, potential breakout levels, and overall AVAX price action to observe the next possible move of AVAX.

Analyzed by Meghana published on TradingView on March 1

AVAX Price Analysis from 23rd Feb 2025 to 28th Feb 2025

At 12:00 UTC on 23rd February, AVAX was around $26.80, reaching a local high before hitting high resistance. This led to a pullback, dropping to $25.50 by 15:30 UTC. Reversal attempts failed as selling pressure mounted. By 24th February at 10:20 UTC, AVAX had fallen to $24.00, reiterating the start of a downtrend. A minor pullback to $24.80 by 13:45 UTC was rejected at the resistance level, and prices fell further. By 21:00 UTC, AVAX fell below $23.50, further reiterating the bearish trend.

On 25th February at 08:15 UTC, AVAX dropped into a falling channel, dropping the price to $22.80. Multiple breakout attempts occurred throughout the day, but none succeeded near the $23.50 resistance level. By 17:30 UTC, AVAX dropped below $22.00, reaching a new weekly low. By 26th February at 07:00 UTC, AVAX temporary support was $21.00. There was a slight rebound, and AVAX returned to $22.50 by 12:45 UTC, but this was soon turned away at the $22.80 resistance. The price fluctuated between $21.00 and $22.50 for most of the day.

At 09:40 UTC on 27th February, AVAX tried breaking out again and came to $23.50, only to face resistance and fall back to $22.30 by 16:20 UTC. The market stabilized, but the overall downtrend was still in place. Until 28th February at 05:50 UTC, AVAX dropped below $21.00, dropping as low as $20.00 at 11:00 UTC. This solidified the bearish momentum, and the sellers dominated the market. As the day progressed, a rebound did manage to get the price back above $21.50 once more, but resistance at $22.00 was extreme.

AVAX Price Analysis for 1st March 2025

On 1 March at 02:30 UTC, AVAX showed early signs of recovery, attempting to surpass $22.00. By 08:15 UTC, it had reached $22.50, showing bullish strength.

At 12:40 UTC, AVAX hit the resistance of $23.00 but faced heavy selling pressure and pulled back. At 15:30 UTC, it retreated to $21.80, indicating that the bulls were losing control.

If AVAX holds above $21.50, a retest of $23.00 and a breakthrough to $24.00 can be anticipated. However, if it cannot reach this level, a retest of the $20.00 support level may occur, resulting in further losses. The RSI is approximately 50, reflecting neutral momentum, whereas the MACD presents a bearish crossover, indicating the downtrend will continue.

Conclusion

AVAX has experienced intense selling pressure and has repeatedly been unable to escape the bearish trading range. The rejection at $26.80 and drop to $20.00 confirm that sellers remain in control. But AVAX recent price action shows that buyers are attempting to gain momentum.

AVAX must remain above $22.00 to confirm the trend reversal and break through the $23.50 resistance. Otherwise, it will retest at $20.00 and further expose itself to the downside.

Traders will watch a breakout above $23.00 or a breakdown below $21.50 to determine the next big move. For the moment, anything in between has AVAX’s recent price stuck in a range-bound condition, holding out for a break.