AVAX falls 29% in a week: Will these factors trigger a price reversal?

Click on the avatar to enter the live chat!

Avalanche [AVAX] has dropped 14.05% in the past 24 hours, with a weekly decline expanding to 29.12%. Despite this bearish trend, a shift in market sentiment may be on the horizon.

According to AMBCrypto, whale activity seems to be intensifying, which could propel AVAX into a new market phase.

The increase in the number of addresses indicates rising market interest

With the simultaneous surge in active addresses (AA) and new addresses (NA), market interest in AVAX is on the rise.

In the past seven days, AA has increased by 44.50%, indicating that trading volume among existing participants has risen. Meanwhile, NA has surged by 142.90%, suggesting that the adoption rate of AVAX is steadily increasing, possibly due to new market entrants finding the asset appealing.

The combination of enhanced market participation and the influx of new addresses is a bullish indicator, suggesting that the market may be trending upwards.

According to AMBCrypto, large holders or “whales” may drive this growth by accumulating AVAX worth millions of dollars, leading to a surge in activity.

Click on the avatar to enter the live chat!