AVAXUSDT Breaks Key Support as Volume Surges in Final Hours

Summary
• Price dropped from $9.48 to $8.94, forming bearish engulfing and hanging man patterns.
• RSI and MACD signal bearish momentum with RSI near oversold territory.
• Volatility expanded during late ET hours, with Bollinger Bands widening.
• Volume surged in the last 2 hours, confirming bearish sentiment.
• Fibonacci retracement at $9.13 appears to be acting as dynamic support.

Avalanche/Tether (AVAXUSDT) opened at $9.26 on 2026-02-06 at 12:00 ET, reached a high of $9.48, a low of $8.94, and closed at $8.99 on 2026-02-07 at 12:00 ET. The 24-hour volume was 2,008,498.97 AVAX, with $18,268,827.52 in notional turnover.

Structure & Formations

Price action on AVAXUSDT showed a strong bearish bias, with key resistance levels near $9.30 and $9.48 failing to hold. A bearish engulfing pattern formed around $9.30 on 07:15 ET, followed by a hanging man pattern at $9.27 on 07:30 ET, signaling potential bearish exhaustion. A strong rejection at the 61.8% Fibonacci level ($9.13) on the 5-minute chart provided short-term support.

Moving Averages

On the 5-minute chart, price closed below both the 20-period and 50-period moving averages, confirming a bearish bias. The 200-period daily MA at $9.17 suggests further downward pressure if the current support fails.

Momentum & Volatility

MACD turned bearish during the 16:00–17:00 ET window, with a bearish crossover and decreasing histogram. RSI dipped into oversold territory near $8.94 but has shown limited bounce, suggesting a weak recovery attempt. Bollinger Bands expanded sharply in the final 2 hours, indicating increased volatility and potential consolidation ahead.

Volume & Turnover

Volume surged in the last 2 hours of the 24-hour window, with over 1.4 million AVAX traded, confirming the bearish breakdown below $9.15. Notional turnover spiked from $450k to $4.5 million during this period. However, the price failed to follow through on the volume spike, suggesting possible exhaustion or short-term profit-taking.

Forward Outlook & Risk Caveat

AVAXUSDT appears to be consolidating near the $8.94–$8.99 range, with $9.13 as a critical near-term support and $9.30 as a key resistance. A break below $8.90 could trigger further downside, while a rebound above $9.25 could signal a temporary reversal. Investors should remain cautious ahead of potential volatility due to increased volume and divergent price behavior.