Avalanche has surged close to $51, where bears are likely to build a strong defense.
AVAX/USDT daily chart | Source: TradingView
If the price drops sharply from $51, the AVAX/USDT pair may fall to the 20-day EMA ($40.19). The 20-day EMA is sloping up and the RSI is in the overbought zone, indicating that the advantage lies with the buyers. If the price strongly rebounds from the 20-day EMA, the outlook for a rise above $51 will improve, pushing the price up to $60.
Bears will need to pull the price below the 20-day EMA to regain the advantage. At that point, the pair could drop to $38, which is expected to act as strong support.
