With the changes in market dynamics, AVAX is preparing to offer significant earning opportunities thanks to the interest of retail investors. Recent whale sales have led to a wider recovery area for the altcoin, which is also supported by changes in trading volumes.
“AVAX’s resistance to maintaining support levels creates bullish expectations if buying continues,” COINOTAG’s latest report stated. The increasing retail interest along with whales’ selling creates a positive outlook for AVAX and increases the altcoin’s recovery potential.
A new support level identified by IntoTheBlock has become a key factor in triggering AVAX’s upward movement. This level is located exactly at $41 and plays a critical role in the altcoin’s uptrend. This support level includes more than 150,000 addresses holding a total of 8.93 million AVAX. Such levels attract the attention of buyers and allow the price to recover, as investors see these levels as opportunities to purchase assets at advantageous prices.
Looking at the recent market movements, AVAX formed two bullish candles after dropping to the $41.32 level and the price made a significant recovery by climbing 50.08% to the highs.
AVAX’s decline to the $41 support level was triggered by large investors (whales) selling 1% of their token supply. This sell-off began on December 9, and after peaking at 1,450, only 400 transactions were made in the last 24 hours. During this period, 3.53 million AVAX were worth approximately $161.12 million – a huge drop from the $1.54 billion recorded on December 9. While whales were selling, retail investors continued to buy at higher prices, allowing AVAX to regain momentum.
According to data from IntoTheBlock, there are 117 bulls and 115 bears in the market, suggesting that the bulls have a slight advantage. While this difference is minimal, it does create sustainable upward momentum. Additionally, AVAX has seen a steady increase in adoption recently, with the 30-day average increase reaching 18.34%. This metric reflects the increasing interest of new addresses and participation from retail investors.
This growing acceptance is supporting the recent price action and is encouraging more retail investors to join the market. If whales continue to accumulate AVAX and fundamental metrics continue their current trend, AVAX is expected to experience a significant price increase in the near future.
