A bullish breakout from the symmetrical triangle indicates the finish of the consolidation period in the AVAX/USDT pair. The potential rally would first hit the $100 resistance, the breakout of which would provide another accumulation chance for the long-term traders. However, sustaining the current retest phase is necessary for the above bullish thesis.
AVAX chart shows long term for retest of descending trendline
Post-retest rally could shove AVAX price above $100
Intraday trading volume on AVAX is $2.08 billion, showing a 5% increase
During the recent downtrend, AVAX traders possess strictly adhered to the descending trendline to sell on rallies. This drop has engulfed the altcoin to the $53 mark, showing a 63.5% loss from its entire-time high ($146.6).
However, an incoming ascending trendline limited excessive losses by supporting new lower prices. The price action that resonates between these two converging trendlines suggests the formation of a symmetrical triangle pattern.
final week's rebound in crypto markets recovered AVAX price from the support trendline ($66.5). Six consecutive green candles from the lower support area increased 34% and broke the upper resistance trendline.
This altcoin is currently in a retest phase for enough demand for a further recovery. However, the price rejection higher at this stage of the retest is related to the reliability of this bullish breakout.
If buyers sustain above the downtrend line, the resulting rally will challenge the psychological $100 barrier. A subsequent breakout will confirm the bulls' commitment to lead to a true recovery. Technical Indicators
The recent rally has reclaimed the significant 50 and 200 DMAs. Furthermore, these DMAs are shut to a golden crossover which could provide an excellent confirmation of the triangle breakout.
The MACD shows how quick and slow has entered the bullish zone, showing that bullish sentiment is growing.
Resistance levels- $100 and $125
Support level- $78 and $66