Recently, Avalanche (AVAX) has experienced a remarkable surge, climbing over 40% and reaching a critical supply level. This development has captured the attention of traders and investors who recognize the potential of Layer-1 blockchains. AVAX is now positioning itself as a formidable contender in the blockchain space.
Analyst Insights and Market Sentiment
One of the prominent analysts closely monitoring this upward momentum is Kaleo, a top investor who has shared a bullish technical analysis with an ambitious price target of $420 for AVAX. Kaleo’s positive outlook is aligned with the broader market sentiment, as leading cryptocurrencies like Bitcoin and Ethereum continue to rise. This favorable environment sets the stage for blue-chip altcoins such as Avalanche to make significant gains.
Avalanche Rising Above Key Levels
Avalanche’s recent breakthrough above key resistance levels has been a significant milestone. The $30 mark has emerged as a crucial point, suggesting a bullish shift in momentum. This breakout has fueled optimism for AVAX’s long-term potential.
According to Kaleo’s technical analysis shared on X, Avalanche’s price could potentially reach an impressive target of $420 during this cycle. This projection represents a remarkable 1,200% increase from its current levels. However, for this bullish scenario to materialize, AVAX must maintain its current momentum and overcome further resistance, particularly surpassing the higher high around $33.
Building Confidence in Layer-1 Blockchains
As Avalanche continues its upward trajectory, there is a growing interest from investors in Layer-1 blockchain platforms like AVAX. This interest underscores the broader market’s confidence in the value of decentralized networks. If AVAX can successfully consolidate above $30 and break past $33, it may unlock opportunities for substantial gains during this cycle.
AVAX Technical Levels To Watch
Currently trading at $31.4, Avalanche has broken above its 200-day moving average (MA) at $28.1, marking a significant achievement in its price structure. This movement has brought AVAX into a critical supply zone that has been limiting its growth since early June.
For bulls aiming to confirm a sustained bullish trend, surpassing the $33 mark and establishing it as a solid support level is crucial. Holding this level could signal a stronger uptrend and attract additional investor confidence. However, a healthy consolidation phase might be beneficial at this point. A pullback to test the $29 level as support could reinforce market stability, allowing AVAX to gather momentum before making the next significant push upward.
Currently, AVAX’s price action appears robust, and a breakout above $33 could pave the way for a long-term bullish phase in the altcoin market.
