Avalanche: Here is full range of updates on AVAX price action

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Avalanche: Here is full range of updates on AVAX price action

AVAX price after news of collaboration with ChainLink

Avalanche has recently been in the spotlight after a number of interesting developments occurred in its ecosystem, each of which looks promising. For example, the network recently partnered with Chainlink to participate in the SCALE program. The same allows blockchain partners to gain access to new Oracle services and/or Oracle configurations specific to their dApp ecosystem needs.

However, despite these positive developments, AVAX has failed to score them on its leaderboard as it has dropped more than 4% in the past seven days. At press time, AVAX is trading at $17.12 with a market cap of $5,056 billion.

Interestingly, several on-chain indicators are also not in favor of AVAX and suggest a further downtrend.

Let's take a look back at the AVAX ecosystem and see what awaits AVAX in the coming days.  

The stars don't support AVAX

More than just a SCALE program, the AVAX developers recently introduced the Banff elastic subnet, which is again an active development. By using its own token on its own subnet, Banff allows subnet creators to initiate proof-of-stake validation and uptime-based incentives. Unfortunately, despite this update too, the AVAX indices are all headed south. 

For example, AVAX development activity has slowed down recently, which is usually a negative sign for a blockchain.

Furthermore, AVAX volume followed a similar path and dropped significantly last week. Interestingly, data from LunarCrush reveals that social mentions and coin engagement have also decreased in recent days.

However, despite all the negatives, the AVAX NFT space has seen some traction as its NFT transaction count skyrocketed over the past week – a positive sign.  

Source: Emotions

What to expect now?

AVAX price has found support around the $16.5 mark for quite some time. It has been trading near the same level, at the time of writing. Therefore, if all goes well, AVAX could soon increase in price.

The MACD data reveals that a war is brewing between the bears and the bulls. However, the exponential moving average (EMA) band reveals that the bears have the upper hand in the market as the 20-day EMA is much lower than the 55-day EMA.

Additionally, AVAX's Chaikin Money Flow also showed a decline, further reducing the chances of a rally. 

Source: AVAX/USD, TradingView

 


Oct 02, 2022

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