Avalanche (AVAX) has discovered itself ensnared inside a important worth zone, grappling with a lackluster buying and selling quantity that has hindered its worth motion. The coin’s journey has been fraught with challenges as market sentiment takes a bearish stance, casting shadows over its potential upward trajectory.

The latest try at a bullish surge, stemming from the $11 assist degree, encountered a formidable impediment on the $15.eight resistance degree. This pivotal juncture proved to be an insurmountable barrier, resulting in an abrupt worth rejection. 

The consequence of this rejection has been instrumental in preserving AVAX’s bearish market construction, leaving merchants and traders grappling with uncertainty.

AVAX Lengthy/Brief Ratio Alerts Predominance Of Sellers

On nearer examination of the buying and selling panorama, the lengthy/quick ratio within the four-hour timeframe reveals a hanging imbalance in favor of sellers. Knowledge sourced from Coinglass paints a telling image, with a staggering 56.5% of open contracts adopting quick positions.

Supply: Coinglass

This lopsided ratio serves as a transparent indication {that a} important cohort of market members anticipates AVAX’s downward trajectory to persist, amplifying the prevailing bearish sentiment.

The fruits of those components has translated into AVAX’s present worth of $12.46, as reported by CoinGecko. Over the previous 24 hours, the cryptocurrency has skilled a modest decline of 0.6%, reflective of the prevailing market volatility.

AVAX worth at the moment. Supply: Coingecko

Moreover, the seven-day pattern highlights a marginal contraction of 0.2%, additional underscoring the turbulent nature of AVAX’s latest worth actions.

Uncertainty Looms As Sellers Preserve Grip

As AVAX navigates this difficult part, uncertainty looms massive over its instant future. The shortage of buying and selling quantity has left the cryptocurrency susceptible to sudden and sharp worth fluctuations, whereas the prevailing bearish sentiment continues to discourage potential traders from coming into the market.

On this local weather of uncertainty, all eyes stay fixated on the interaction between assist and resistance ranges., In accordance with a latest worth evaluation, the token’s skill to transcend the $15.eight resistance degree will probably dictate its trajectory transferring ahead.

AVAX market cap at $4.2 billion at the moment. Chart: TradingView.com

Ought to this barrier be breached, it might instill newfound confidence amongst merchants, doubtlessly mitigating the bearish grip that at the moment envelopes the market sentiment.

AVAX finds itself at a important crossroads, grappling with a scarcity of buying and selling quantity and a prevailing bearish sentiment. The latest worth rejection has sustained the cryptocurrency’s bearish market construction, with the lengthy/quick ratio skewing considerably in direction of sellers.

As AVAX treads cautiously by way of this unsure terrain, the cryptocurrency group watches, desirous to discern whether or not the present challenges will pave the way in which for a resurgence or additional deepen its bearish trajectory.

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Featured picture from Token Gamer