Bitcoin News Today: AVAX Price Breaks Multi-Month Channel, Targets 32-35% Gain

The AVAX/BTC pair has recently shown signs of a strong rally, with the AVAX price breaking out of a multi-month descending channel in July. This technical pattern suggests bullish momentum for AVAX, potentially leading to price targets of $32 to $35 in the coming weeks, according to the analyst's forecast. The breakout from this channel is a significant development, as it indicates a shift in market sentiment towards AVAX, which has been in a downward trend since December 2023. This rally is supported by strong underlying fundamentals and positive market sentiment, which could drive the price of AVAX higher in the near term.

Analysts have noted that the break above the descending channel is a key technical upside development for AVAX price action. Ali Martinez, an analyst, echoed a similar sentiment, explaining that traders could use the current momentum as a launchpad for higher momentum, if it reclaims some key levels first. In particular, a prolonged gain above the $26 mark would likely advance the positive setup and encourage fresh capital in the market. Ted Pillows, another analyst, shared a technical chart identifying a converging declining wedge pattern. The breakout from this pattern has been clean, signaling a structural shift away from lower highs and compressed price action. According to Ted, this breakout opens up the possibility of a price advance into the $32 to $35 zone over the next one to two weeks, assuming the current trend remains intact.

In a separate observation, CryptoKaleo pointed to the AVAX/BTC trading pair, which has now broken above a long-standing resistance trendline which was active since 2021. This move carries significant implications because the AVAX price has struggled to outperform Bitcoin over the past few years, but this breakout flips everything. The current multi-year structure break has flipped its narrative from bearish to bullish, and this act as a secondary confirmation of the AVAX/USD pairs ongoing trend reversal. Planfomo, another analyst, added to the optimistic tone, projecting a potential target of $47 should AVAX successfully break out and hold above the $26–$27 range. Though such targets remain conditional on sustained market strength, they do highlight the increasing confidence in AVAX crypto’s technical outlook across different analysts.

On-chain metrics also show increasing confidence with rising funding rates and open interest. An increase in the funding rate is usually associated with long traders while an increasing open interest also indicates increased participation. These indications in combination signal a short-term bullish bias in AVAX price. The broader market trends indicate that the bulls are coming back in full force. Should those external conditions remain supportive, the move could provide a backdrop for a broader rally if momentum holds, the more so as analysts forecast higher AVAX price targets in the coming weeks.