Avalanche’s token AVAX crushed a key resistance level and is in the process of establishing a new support level. If AVAX succeeds in establishing a strong support zone near $23, analysts predict that AVAX could reach start-of-year highs–($40-$45).
In the backdrop of altcoins starting to feel the tremors of an oncoming altseason, some tokens are already feeling the heat. A layer-one blockchain, Avalanche’s token AVAX, is one of the tokens that has made a significant move in the past few days. Since February 2025, the token price action was limited below the $26 resistance level. Despite the bulls’ tireless efforts to push the price past this strong resistance level, AXAX was unable to cross it.
AVAX bulls smash resistance
However, the AVAX bulls gave it their all on Wednesday, and AVAX vaulted past $26 resistance level after 7 long months.
Now that it is above the resistance level, there is one more requirement that Avalanche needs to fulfill on the weekly chart for analyst Rekt Capital’s prediction to play out. Given that it plays out, AVAX could hit the start of the year highs.
Only one barrier obstructs AVAX
The requirement? AVAX will need to hold above the $23 support level on the weekly chart for Rekt’s forecast to validate. So will it?
On the technical front, the Relative Strength Index which dictates the market condition is neutral–neither overbought nor oversold. As such, there is no pressure from the bears to push the prices down. Even the bear bull power (BBP) indicator signals that there are many bulls in the market than the bears, hence, let alone AVAX defending the $23, the price doesn’t look like changing direction downwards as of now. Based on this thesis, AVAX could hit $45 when it makes a new high on the weekly chart, as shown above.
