- AVAX’s Taker Buy Dominance and rising Open Interest shows growing bullish intent, but caution still lingers.
- Resistance at $23.3–$24.5 may trigger volatility as whale netflow signals split conviction across timeframes.
Avalanche [AVAX] recorded a remarkable 275% spike in daily transactions since early May and now averages 759,000 transactions per day.
At the same time, monthly active addresses crossed 2.2 million, reflecting intensified participation driven by subnet deployments, DeFi traction, and gaming integrations.
Naturally, this spike in engagement signals a shift—away from speculation and toward network utility. But does this surge in usage actually translate to price?
AVAX eyes $24 — Gatekeep or greenlight?
AVAX traded near a confluence of Fib resistance levels between $22.5 and $23.6. This zone coincides with the 0.5–0.618 retracement area from the April drop.
So far, price action remains within an ascending channel, suggesting the bullish structure remains valid. However, the Stochastic RSI spiked above 80, flashing an overbought signal.
Therefore, a temporary pause or minor retracement is possible before bulls attempt a clean breakout. A decisive close above $24.1 may flip sentiment entirely and validate upside continuation.
Source: Trading View
Traders rush in
Taker Buy Dominance on the spot market has spiked, signaling aggressive buying.
No, this isn’t passive bidding—this is traders hitting the market with confidence.
As a result, this metric suggests bullish momentum is gaining strength in real time. If this behavior sustains while price consolidates, it could create the ideal conditions for a breakout.
Source: CryptoQuant
On top of that, Large Holder Netflow showed a +45.60% gain over 90 days, suggesting long-term accumulation.
However, the 30-day trend has declined sharply by -53.31%, suggesting more recent outflows or profit-taking.
This divergence indicates uncertainty among whales as the price nears resistance. While some long-term investors appear confident, short-term players may be exiting on strength.
Therefore, the next price reaction at the resistance cluster could clarify whether whales will support or suppress a breakout.
Source: IntoTheBlock
AVAX: Gearing up for a directional move?
Speculative interest is returning.
Open Interest jumped 11.37% to $558 million, while trading volume remains steady at $1.16 billion. This points to growing speculative interest in AVAX.
However, the absence of extreme leverage suggests that traders remain cautious.
While rising Open Interest is often a bullish sign, a lack of commitment through high leverage implies skepticism about sustained upside.
According to Binance’s Liquidation Map, a large cluster of long liquidations sits between $23.3 and $24.5. This zone marks the key resistance barrier.
A sharp move above this level could trigger short liquidations, amplifying volatility and fueling upward momentum. However, failure to breach this zone might trap bulls and increase downside pressure.
Source: Coinglass
Will rising network activity be enough?
Avalanche’s explosive growth in active users, transactions, and spot demand shows that the network fundamentals are strengthening.
However, price action has yet to reflect this momentum, as AVAX faces strong resistance between $23.3 and $24.5. Whether whales support this rally or take profits will be critical.
If bulls flip this range into support, a breakout could follow. But if rejected, AVAX risks returning to lower support zones despite its on-chain revival gaining momentum.
Credit: Source link