Avalanche (AVAX): Evaluating What Metrics Have Ahead of Dec. 2022

  • AVAX’s TVL recorded an upward move, but metrics favor bearishness.
  • Bollinger Bands and RSI display bearish signs, whereas MACD and MFI show otherwise.

Avalanche Daily is a renowned Twitter account that posts Avalanche’s updates. Meanwhile, it published the token’s weekly stats on November 27. The data indicated an increase in total stake amount, hitting 260,644,512 AVAX. That appeared optimistic for the Avalanche blockchain.

Nevertheless, Avalanche’s total volume recorded a minor change over the past seven days, with the figure hovering beyond 13 million – translating to 2M daily transactions. However, the crypto’s active address volume presented decline signals, averaging 30K/day.

Besides that, the Avalanche ecosystem saw multiple integrations. That can support price surges. For instance, COMB Financial recently confirmed the launch of Utopia on Avalanche. Surprisingly, Avalanche’s performance on its charts has faded lately.

The token recorded a more than 5% dip in price within the past day to press time of $12.30. In that context, let us check other substantial metrics and developments to assess what investors may anticipate from the altcoin a few weeks before the year’s end.

A Concern for AVAX

Avalanche’s on-chain metrics show sellers dominating the marketplace, with multiple indexes suggesting more price dips in the upcoming times. For example, the asset’s Binance funding rate recorded a swift decline.

That meant a bearish sign as it shows the alt saw faded interest within the derivatives space. Also, AVAX’s popularity flashed declines, with its social volume plunging within the previous week.

Moreover, the crypto’s development activity resorted to southward tendencies and plunged substantially. That’s negative for the platform as it indicated declined developer efforts to enhance the blockchain.

Nevertheless, DeFiLlama offered some respite as it presented an optimistic update. The charts showed Avalanche’s TVL (total value locked) soared within the past few days, confirming a positive update for investors.

Any Chance for the Bulls?

Though AVAX’s 24hr chart also favored sellers, some indicators show bulls could be building strength. The Bollinger Band suggested that Avalanche’s price neared a squeezed territory. That indicated reduced chances of an upside breakout soon.

The RSI (Relative Strength Index) rested beneath the neutral level – another bearish sign. Nevertheless, the crypto’s MFI (Money Flow Index) recorded an uptick, giving investor hope. Also, the MACD formed a bullish cross. And that could help AVAX price upticks in the upcoming days.