Avalanche (AVAX) Price: Tests Key Support After Triangle Breakout Maisie Morrison | usagoldmines.com

TLDR

• AVAX pulled back to $7.20 after a triangle breakout pushed it toward $8.30
• The $6.50–$7.00 zone is the key support area traders are watching
• AVAX trades near $7.55, above its 20 EMA and 200 EMA
• RSI sits at 57.09, above the neutral 50 level
• Janus Henderson has become a validator on the Avalanche network

Avalanche is holding above a support zone after breaking out of a triangle pattern earlier this month. The pullback has traders watching whether the move was a healthy retest or the start of a deeper correction.

AVAX rallied toward $8.30 following the breakout. That move was followed by a drop back to $7.20, which put the $6.50–$7.00 range back into focus as the level bulls need to defend.

Crypto analyst Crypto With Gopal posted on X that AVAX formed a triangle pattern before breaking out of a smaller structure and pushing toward $8.30. The analyst said bulls now need to defend the $6.50–$7.00 support zone and reclaim $8.30 to restore stronger upward momentum.

Technical Levels and Support Zones

TradingView data shows AVAX consolidated near $7.00 through late August and early September. It then broke higher, lifting above $8.10 before correcting back down.

At the time of writing, AVAX traded near $7.5461. The price sits above both its 20 EMA at $7.4283 and its 200 EMA at $7.3147.

RSI on the four-hour chart reads 57.09, staying above the 50 mark. Bullish divergence appeared between September 13 and 16, pointing to weaker selling pressure.

The next resistance level to watch sits at $7.80. A move above that price could open the door to retests of $8.10 and $8.30.

If AVAX fails to hold current levels, the price could slide back toward the $6.50–$7.00 support zone. That outcome would test the strength of the broader recovery structure.

Institutional Backing Grows

Derivatives data from CoinGlass shows a mixed picture. Trading volume for AVAX dropped 5.87% to $371.90 million over the tracked period.

Open interest moved in the opposite direction, rising 5.91% to $288.28 million. That suggests traders are holding or adding positions even as overall trading activity slows.

Rising open interest paired with falling volume points to continued positioning without much price action yet. A sharp move in either direction could trigger volatility given the leveraged positions in place.

Janus Henderson, an international asset manager, has joined the Avalanche network as a validator. The role lets the firm take part in securing and operating the blockchain.

Janus Henderson also holds an equity stake in Tranched and serves as anchor capital for its offering. Tranched manages $300 million in on-chain assets with a deal flow that tops $3 billion.

The validator role adds to Avalanche’s push into tokenization and on-chain finance. It marks another step in the network’s efforts to attract institutional participants.

Traders are now watching how the $7.00 to $7.80 range plays out over the coming sessions. A break above $7.80 would put the $8.10 and $8.30 levels back in view.

A drop below the $6.50–$7.00 zone would put the current recovery structure at risk. For now, AVAX holds above its key moving averages as the market waits for the next move.

The post Avalanche (AVAX) Price: Tests Key Support After Triangle Breakout appeared first on Blockonomi.

This articles is written by : Nermeen Nabil Khear Abdelmalak

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