AVA's Momentum Waning
Travala (AVA) recently surged 300% after Changpeng Zhao (CZ) revealed Binance's early investment in the platform, coupled with Travala’s $100 million annual revenue report.
This sparked significant market interest, yet momentum indicators now show signs of cooling.
The Relative Strength Index (RSI) spiked to 96, signalling overbought conditions, but dropped to 47.8 and currently sits at 35.997 according to Investing.com.
Travala (AVA) has seen a 300% price surge following Binance’s investment announcement and a reported $100 million in revenue. However, the Relative Strength Index (RSI) has cooled from 96 to 47-8, indicating a shift from overbought to neutral territory https://t.co/Mzc0lqQdgJ
— BlockVoyager (@BlockVoyagerAIO) December 16, 2024
RSI values above 70 signal overbought conditions, while values below 30 indicate oversold conditions.
AVA's shift from overbought to near-oversold suggests a change in market sentiment, with potential for price stabilisation or further consolidation.
While room remains for an uptrend, traders should be mindful of the risks as AVA's bullish momentum weakens.
CZ's HODL of AVA Gave it a Further Boost
On 11 December, Travala announced its annual revenues had hit $100 million, a significant increase from $59.6 million in 2023, driven by growing demand for crypto-based flight and hotel bookings.
The company also revealed a new strategy to hold a portion of its treasury in AVA and Bitcoin, following the example set by Michael Saylor's MicroStrategy.
🔥 BREAKING: #Travala hits $100M annual revenue milestone expanding #crypto adoption in travel and announces $AVA & $BTC Treasury Reserve strategy.
Let’s keep building 💪 https://t.co/LG39JGoR6A
— Travala.com 🏨 ✈️ (@travalacom) December 11, 2024
However, it was CZ's 12 December post on X (formerly known as Twitter) that truly captured the market's attention.
Highlighting Binance's early investment in Travala from the pre-COVID era, CZ's endorsement fuelled investor curiosity and excitement.
We invested in this crypto travel platform pre-COVID, pre-crypto winter, and held on. BUILD! https://t.co/q40IZ4xfM3
— CZ 🔶 BNB (@cz_binance) December 12, 2024
Known as one of crypto's "OGs," CZ's influence is undeniable, and his tweet not only bolstered Travala's credibility but also hinted at its long-term potential.
A few days ago @cz_binance brought some publicity to #Travala and $AVA .
Below is a great overview for those who are still sleeping and want to learn more from my perspective.
The site is making ripples across the #Crypto world.https://t.co/Hd5dIxWQmJ
— xen 💡 (✈️,🏨) (@xenzor1) December 15, 2024
The tweet sparked a surge in AVA's price, which jumped 350% from $0.75 to a peak of $3.38 in just 24 hours.
According to LunarCrush, the post generated massive social activity, with over 1.3 million views (now 1.7 million), making Travala the market's focal point for the day.
✈️@travalacom's $AVA token shot up 210% after reaching an annual revenue milestone and launching a #Bitcoin-powered Treasury Reserve Plan, with CZ hinting at a larger pump from Binance Labs' investment.
The news caused social activity to soar boosting Travala's share of social… pic.twitter.com/EYrG7vZYL4
— LunarCrush Social Intelligence (@LunarCrush) December 13, 2024
Co-founder and CEO of Travala, Juan Otero, hinted that there are big thigs ahead.
Appreciate the support @cz_binance! We’ll keep building and pushing crypto forward. Big things ahead 💪 https://t.co/9d6gzdzjGK
— Juan Otero (@joterovila) December 12, 2024
Will AVA Regain Uptrend Momentum & Create a Christmas Miracle?
Should the bearish trend persist, AVA's price may test the robust support level at $1.56.
A breakdown below this point could trigger a steeper decline, potentially bringing the price down by as much as 50%, with targets around $0.81 or even $0.62.
However, if the upward momentum resumes, AVA could rebound, aiming to retest the $3.38 resistance level, with a potential rally towards $3.50, maintaining its position as one of the top performers of the past week.
Currently trading at $1.75, AVA has seen a nearly 15% drop in the last 24 hours, according to CoinMarketCap.
Will it regain momentum and deliver a holiday-season rebound?
