Bitcoin and the overall cryptocurrency market faced a massive rejection from newly formed highs after the bulls failed to sustain their upward move. However, after experiencing a minor sell-off, popular altcoin Avalanche (AVAX) is ready and about to explode. Mainly because the tokens have tightly consolidated above gains and the bulls have regained control.
AVAX price remains firmly above $55, which is also the neckline of the parabolic recovery curve, indicating that a huge price move is yet to begin. From a larger perspective, the token has achieved a major bullish pattern, so a massive breakout can be expected regardless of any ongoing bearish action.
The weekly chart above shows that price has achieved a ‘cup and handle’ pattern, which could lead to a big breakout. Moreover, the current weekly candle has already crossed an important resistance level, suggesting that the next phase of the bull market has already begun. Moreover, volume remains at decent levels and DMI has triggered a bullish divergence. +Di and -Di were supposed to undergo a bearish crossover, but recent price action has caused +Di to display a bullish divergence.
Therefore, the current trading set suggests that the Avalanche (AVAX) price is just starting to show strength and could well surpass its current ATH. Prices are therefore expected to maintain a healthy upward trend and reach triple-digit figures before the end of the month. Additionally, if the Bitcoin halving is successfully completed, the market is expected to become more bullish and bring new price increases.