Avalanche (AVAX) is showing promising signs with a falling wedge breakout, attracting capital and hinting at a potential rally. Is $22.70 the next target?
Avalanche (AVAX) Price Prediction: Riding the Falling Wedge to Potential Gains?
Avalanche (AVAX) is gaining traction, fueled by fresh capital inflows and bullish technical indicators, especially the falling wedge pattern. Traders are eyeing a potential 30% rally, with the $22.70 mark as the next key target. Let's dive into the details.
Strong Capital Inflows and On-Chain Activity
Avalanche is closing the week on a high note, ranking second in 24-hour net inflows across all ecosystems. With $6.87 million in net inflow, AVAX demonstrates strong confidence, only surpassed by Ethereum. This influx of capital suggests AVAX isn't just surviving the market cycle but actively attracting investments, potentially driving price action.
AVAX's C-Chain has consistently maintained over 1 million ERC20 token transfers daily throughout June, averaging around 1.76 million transfers by mid-June. This consistent user activity is a testament to the network's strength and reliability.
Falling Wedge Breakout: A Bullish Signal?
AVAX recently broke out of a textbook falling wedge pattern on the 4-hour chart, accompanied by a surge in volume, according to Alpha Crypto Signal. This breakout suggests a potential short-term trend reversal. The critical next step is for AVAX to flip the former wedge resistance into support, confirming the reversal.
Price Prediction: Eyes on $22.70
Building on the falling wedge breakout, AVAX shows early signs of forming a rounded bottom near the $17.50 to $18 region. If this reversal holds, a potential move towards $22.70 is on the cards. This target aligns with a previous resistance zone from earlier in the month. A decisive push through the $18.40 to $18.50 level would significantly increase the probability of hitting $22.70.
The $17 Demand Zone: A Generational Opportunity?
Crypto analyst Simon Desue sees the $17 to $18 region as a “generational opportunity,” noting that it has acted as a demand zone multiple times in the past six months, often leading to bounces of 20–30%. This area also aligns with the base of a broader symmetrical triangle, offering both horizontal and diagonal support.
AVAX Price Prediction: Contrasting Views for 2025
Price predictions for AVAX in 2025 are mixed, reflecting market uncertainty. DigitalCoinPrice suggests Avalanche might reach around $44.73 early next year, while Changelly is more conservative, estimating a maximum price of $19 with minimal ROI.
Final Thoughts
While the market navigates sideways, Avalanche is quietly racking up wins both on-chain and on the charts. With consistent capital inflows, rising transfers, and strong technical formations like the falling wedge breakout, AVAX is demonstrating the resilience that often precedes significant moves. The $17 zone has become a crucial support level. If momentum holds, AVAX bulls are setting their sights on $22.70. Will AVAX defy the odds and reach new heights? Only time will tell, but for now, things are looking pretty interesting!
