Bearish Signals for AVA (AVA/USDT): Is a Recovery Possible After a Sharp Drop?

$AVA is currently trading at $1.7553, experiencing a significant decline of -21.04%. Despite the sharp downturn, key levels suggest potential for stabilization and recovery.

Key Insights:

Support Level: $1.70 remains crucial; breaking below could lead to further declines.

Resistance Targets: $1.90 (short-term) and $2.20 (mid-term).

Technical Indicators:

RSI: Near oversold territory, signaling a possible rebound.

Volume: High sell pressure; caution advised.

Trading Strategy:

Spot Trading:

Entry Point: Buy near $1.70 for a recovery move.

Targets: $1.90 (first), $2.20 (mid-term).

Stop-Loss: Set stops at $1.60 to minimize losses.

Futures Trading:

Leverage: Use 2x leverage for controlled risk.

Entry Point: Enter long above $1.80 for momentum.

Targets: First $2.00, next $2.20.

Stop-Loss: Place stops at $1.65.

Risk Management:

Allocate cautiously: Split 70% for spot trades, 30% for futures.

Monitor RSI and market momentum for entry signals.

Diversify positions to hedge against further downside.

Patience and disciplined risk management are key during AVA’s volatile movements.