Avalanche (AVAX) Surges 115% in December—Is $60 in sight?

Avalanche (AVAX) price more than doubled in December, hitting a new yearly high today.

AVAX is approaching $50, a level not reached since May 2022. Will it be done before the end of the year?

AVAX hits another yearly high

AVAX price has been rising rapidly since October, when it was trading as low as $8.65. In 63 days, the price increased 425%, peaking with a new yearly high at $46.40 today.

AVAX broke above the 750-day descending resistance line on the way up, which has existed since its all-time high. This has accelerated the increase even further.

Since October, AVAX has produced 8 weekly bullish candles for 9 weeks.

RSI is a momentum indicator that traders use to evaluate whether the market is overbought or oversold and whether to accumulate or sell an asset.

A reading above 50 and sloping up shows that the bulls still have the advantage, while a reading below 50 shows the opposite. The weekly RSI is rising and above 50, both of which are signs of an uptrend.

What do analysts say?

Cryptocurrency analysts on X have an optimistic view on future trends.

Bluntz Capital tweeted about the bullish wave count, suggesting AVAX price will complete the fifth and final wave near $55.

Flash is also increasing in price and has a target of $65. His optimistic outlook is due to the breakout above the long-term pattern and movement above the horizontal resistance zone.

AVAX price prediction: Is $50 the next stop?

Technical analysis on the daily timeframe suggests a bullish outlook. Technical analysts use Elliott Wave theory to determine the direction of trends by studying recurring long-term price patterns and investor psychology.

The most likely wave count shows that AVAX is in the fifth and final wave of the uptrend that began in September.

Wave five has extended and is more than 0.618 times the length of waves one and three combined.

If AVAX continues to rise, the next target will be $59, creating wave five the length of waves one and three combined. This represents a 28% increase from current prices. AVAX price could reach the target in December if the growth rate is maintained.

The daily RSI supports this possibility as the indicator has broken above the bearish divergence (green) and is rising.

Despite this bullish prediction, a daily close below $44 would mean the price has peaked. If that happens, AVAX price could fall 50% to the nearest support at $22.

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