💥 Avalanche Shows Signs of High-Timeframe Reversal After 95%+ Crash
After a brutal 95%+ drawdown from its 2021 peak, Avalanche (
$AVAX ) is beginning to show early signals of a potential long-term reversal. Price has stabilized at macro support, forming an emerging Elliott Wave structure on the weekly chart—a phase that could mark a critical turning point in the broader cycle.
🔸 Weekly Elliott Wave Points to Macro Inflection
$AVAX is forming a weekly Elliott Wave pattern within a massive descending channel intact since the 2021 all-time high. While still in a long-term corrective phase, technical cues suggest a potential high-timeframe inflection.
Wave 1 appears completed with a macro low near $5.67, and the asset is now entering the early stages of a Wave 2 recovery, a pivotal point in the Elliott Wave sequence that often sets the stage for a sustainable expansion.
Key weekly chart highlights:
Wave 1 finalized within the $8–$5 macro bottom, forming a potential support base.
Price remains inside the long-term descending channel, defining the broader downtrend.
Clean bearish breakdown followed by a trendline retest, a classic deviation setup.
Liquidity sweep into weekly demand zone $8–$7, mirroring previous cycle compression phases.
✅ Next Steps for Confirmation:
Sustained weekly strength and expansion toward mid-channel resistance would validate the bullish Wave 2 thesis, signaling that a larger recovery may be underway.
#AVAX |
#Avalanche $AVAX 9.48 +3.15%