Avalanche’s AVAX Posts Quick V-Shaped Bounce, Yet Momentum Remains Fragile

AVAX Stuck in Downtrend Despite Quick Bounce as Sellers Keep Pressure On

Avalanche’s AVAX token ($17.54) continues to wrestle with bearish forces, unable to break free from a descending channel even after staging a swift V-shaped rebound, according to CoinDesk Research’s technical analysis.

In the last 24 hours, AVAX has slipped by 1.4%, trading around $18.43, trailing the broader CoinDesk 20 Index, which declined a milder 0.5%.

Persistent selling pressure has stifled AVAX’s short-term momentum, though pockets of strong buying activity have appeared during sharp price drops.

Technical Snapshot:

AVAX saw notable volatility, fluctuating within a 24-hour range of $0.84 (4.5%), with highs at $18.93 and lows at $18.09.
Support has been solid in the $18.15–$18.25 range, while resistance remains stiff near $18.85–$18.90.
Price action continues to respect a descending channel pattern, signaling ongoing bearish sentiment despite occasional rebounds.
A quick V-shaped recovery saw AVAX plunge from $18.35 to $18.09 on high volume of 52,056 units, only to surge back to $18.40 soon after.
The bounce gathered pace as AVAX broke above resistance at $18.27 on a strong volume spike exceeding 67,000 units, creating new support between $18.33 and $18.35.
The recent rally has transitioned into sideways consolidation, highlighted by a brief three-minute stretch with zero trading volume, suggesting traders are pausing to assess the next move.

Market participants will watch to see if AVAX can escape its downtrend or if sellers will maintain control, potentially pushing prices lower.