The price of AVAX is showing strong signs of a potential breakout, with technical patterns and market indicators converging to support a bullish trajectory. As Avalanche (AVAX) forms a double bottom near key resistance at $23 and retests a long-term weekly trendline around $18.50, momentum is building. Coupled with rising open interest and growing institutional interest—highlighted by a recent ETF spot filing—market sentiment is increasingly optimistic. This confluence of factors suggests AVAX could be on the verge of a significant upward move, with price targets reaching as high as $30.
Bullish Double Bottom Formation Eyes Breakout Above $23
On the 12-hour chart, AVAX has formed a clear double bottom pattern—a classic reversal setup often signaling the end of a downtrend and the beginning of a new uptrend. The two rounded lows, both near the $16–$17 range, indicate strong buyer interest at these levels. The neckline of this pattern currently sits between $22.50 and $23.00, acting as immediate resistance.
👉 Discover how technical patterns like this can unlock profitable trading opportunities.
Market analyst TedPillows emphasized that “a 12-hour close above $23 would confirm the breakout,” potentially triggering a sharp price surge toward the $27–$30 range. At the time of analysis, AVAX was trading near $19.30, showing early signs of momentum as it prepares for a decisive move.
This pattern is more than just a visual signal—it reflects a shift in market psychology. After prolonged selling pressure, demand begins to outweigh supply at support, leading to stabilization and eventual upward momentum. A confirmed breakout above $23 would validate this shift and likely attract both retail and institutional buyers.
Long-Term Trendline Support Holds Above $18.50
Zooming out to the weekly chart reveals an even more compelling narrative. AVAX is retesting a major ascending trendline that has held since early 2021. This trendline has been tested three times in the past, each time followed by a strong rebound. The current test near $18.50 suggests long-term support remains intact.
Historically, AVAX has defended this trendline by drawing in fresh buying interest and increasing trading volume. If price stabilizes above the $18.00–$18.50 zone, this level could serve as a springboard for a new bullish leg. The resilience of this trendline over multiple market cycles underscores Avalanche’s underlying strength and investor confidence in its long-term value proposition.
Daily Chart Indicators Confirm Upside Momentum
The daily trading chart further reinforces the bullish outlook. AVAX has recently broken above the neckline of a prior double top formation at $18.90–$19.00, which now acts as dynamic support. The next major resistance lies around $23.00, with a confirmed breakout likely paving the way for gains toward $27–$30.
Technical indicators are aligning to support this move:
- Relative Strength Index (RSI): Sitting at 51.13, RSI indicates momentum is building but not yet overbought—leaving room for further upside.
- Cumulative Volume Delta (CVD): At +387,28K, CVD shows strong buyer dominance in volume flow, confirming accumulation.
- MACD: A bullish crossover has occurred, with the MACD line moving above the signal line, signaling strengthening bullish momentum.
Additionally, open interest (OI) for AVAX perpetual contracts has surged by 14.91% over the past 24 hours, reaching $215.7 million. This increase reflects growing speculative engagement and heightened market activity—both hallmarks of an impending directional move.
👉 Stay ahead of market momentum with real-time data and advanced trading tools.
Short-Term Price Forecast: AVAX Eyes 9% Gain by May 2025
Current projections suggest AVAX could rise approximately 9.25%, reaching $20.94 by May 10, 2025. While this short-term target is modest compared to longer-term aspirations, it represents a critical stepping stone toward higher levels.
Despite this positive technical setup, broader market sentiment remains cautious. The Crypto Fear & Greed Index stands at 25—reflecting “extreme fear”—though AVAX’s own sentiment is technically neutral. Over the past month, AVAX has recorded 15 green days with a volatility rate of 7.92%, indicating steady consolidation amid uncertain macro conditions.
Institutional Catalyst: Spot ETF Filing Boosts Bull Case
A major catalyst has emerged on the fundamental front: Nasdaq has filed Form 19b-4 to list VanEck’s spot Avalanche (AVAX) ETF. This filing marks a pivotal step toward regulatory approval and paves the way for broader institutional adoption.
The proposed ETF aims to track the price of AVAX without active management, offering traditional investors regulated exposure to the cryptocurrency asset class. Such products have historically driven significant inflows following approval—evidenced by the Bitcoin ETF launches in early 2024.
If approved, this ETF could attract pension funds, asset managers, and retail investors seeking crypto exposure through familiar financial instruments. The ripple effect could increase demand for AVAX, tighten supply dynamics, and fuel sustained price appreciation.
Frequently Asked Questions (FAQ)
Q: What is the significance of the double bottom pattern in AVAX’s price action?
A: A double bottom is a bullish reversal pattern indicating that selling pressure has exhausted and buyers are stepping in. For AVAX, confirmation above $23 could trigger a rally toward $30.
Q: Why is the $18.50 level so important for AVAX?
A: This level aligns with a long-term ascending trendline dating back to 2021. It has acted as strong support in previous cycles and its defense increases confidence in continued bullish momentum.
Q: How does rising open interest impact AVAX’s price outlook?
A: Increasing open interest signals growing participation from traders and investors, often preceding strong directional moves. A 14.91% rise suggests mounting conviction in a breakout.
Q: What role does the spot ETF filing play in AVAX’s price potential?
A: An approved spot ETF would bring institutional capital into AVAX, enhance liquidity, and improve market legitimacy—similar to what occurred with Bitcoin ETFs.
Q: Is AVAX currently overbought according to technical indicators?
A: No. With RSI at 51.13, AVAX is in neutral territory—showing building momentum without entering overbought conditions.
Q: What are the key resistance levels to watch for AVAX?
A: Immediate resistance lies at $23. A breakout here opens the path to $27–$30. Failure to clear $23 may lead to further consolidation.
Core Keywords: AVAX price prediction, Avalanche cryptocurrency, AVAX technical analysis, spot ETF filing, double bottom pattern, open interest AVAX, crypto market trends
👉 Access advanced analytics and trading platforms to track AVAX’s next move in real time.