AVAX Sees Volatility as Support Zones Strengthen Near $20.60

Avalanche’s native token AVAX is showing notable price fluctuations after a brief rally, currently trading at $21.95. Following a 3.72% gain from $20.71 to $21.48, AVAX reversed course, falling sharply to $20.25, establishing a key support range between $20.25 and $20.30.

According to CoinDesk Research’s technical model, the $20.62–$20.63 range has emerged as a potential price floor, signaling growing accumulation interest. The dip was accompanied by a volume spike, indicating potential buyer re-entry at lower levels. Price behavior is currently moving within a descending channel, a pattern often associated with bearish consolidation before a breakout.

Resistance appears firm in the $21.40–$21.50 zone, where significant selling pressure was observed. However, temporary support at $20.62 has held so far, with short-term recovery attempts hinting at a possible stabilization. The hourly low aligning with the 24-hour support zone reinforces the idea that $20.62–$20.63 could be critical for near-term market direction.

In a broader context, the CoinDesk 20 Index — which tracks the top 20 cryptocurrencies by market cap excluding stablecoins, memecoins, and exchange tokens — is up 1.1% over the past 24 hours, showing moderate strength in the overall crypto market.

AVAX traders are closely monitoring these technical levels, as sustained accumulation near support zones could set the stage for a new upward move, while a breakdown could signal further downside. The current setup suggests a make-or-break moment for AVAX in the short term, with market sentiment hinging on Bitcoin’s trend and overall risk appetite in the crypto space.