The cryptocurrency market is in a state of uncertainty ahead of the imminent US interest rate decision. Amidst this, Avalanche (AVAX) stands out with a significant surge in value, emerging as one of the top-performing cryptocurrencies. What is driving this bullish sentiment ?
Over the past 24 hours, the AVAX price has surged by 7.1%. This increase has allowed the token to break through the key $30 threshold once again. Avalanche has actually been on a positive trend for some time now, recording an impressive gain of 18.3% over the past week.
Last weekend, the cryptocurrency briefly exceeded the resistance level of $31, a significant threshold, as it was back in February when AVAX was last traded above this resistance.
Avalanche’s performance is all the more remarkable given that, during the same period, the sector’s heavyweights displayed more modest results. For example, Bitcoin gained only 0.4% while Ethereum even slightly decreased by 0.6% over the last 24 hours.
According to analyst Crypto Feras, Avalanche still has bright days ahead. While many altcoins are under pressure, he identifies strong technical signals for AVAX. He believes that breaking through the $30 resistance would pave the way for a rise toward $50, or even beyond.
Feras is targeting an increase of at least 64%. This is all the more remarkable given that Avalanche still has significant upside potential compared to its previous all-time high of nearly $145, reached in November 2021.
If AVAX breaks through the $33 resistance, it has a strong probability of reaching between $50 and $60 in the coming weeks, according to the Fibonacci Bollinger Band (FBB). That would represent a surge of nearly 100% from its current price.
Two elements seem to explain the recent growth in AVAX’s price. On one hand, an announcement from last week generated significant optimism : the Avalanche Foundation is working on raising $1 billion from institutional investors.
On the other hand, asset manager Bitwise filed an application with the SEC yesterday for the creation of an Avalanche exchange-traded fund (ETF). This is the third such filing after previous applications from Grayscale and VanEck.
Institutional heavyweights are therefore betting big on this rapidly growing blockchain. In the coming months, AVAX could rival SUI, the previous blockchain that outperformed the market at the end of last year.
AVAX is surprising the market with its unexpected rally. However, the fundamentals reveal an ecosystem that is far from having said its last word in the blockchain wars. Here’s how to buy AVAX on Zoomex before its next imminent rally :
Charles Ledoux is a Bitcoin and blockchain technology specialist. A graduate of the Crypto Academy, he has been a Bitcoin miner for over a year. He has written numerous masterclasses to educate newcomers to the industry and has authored over 2,000 articles on cryptocurrency. Now, he aims to share his passion for crypto through his articles for InvestX.
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