The cryptocurrency market is stabilizing after recent volatility, with Bitcoin (BTC) consolidating near $98,000 and Ethereum (ETH) holding around $2,700. As major altcoins show signs of recovery, AVAX is attempting to regain lost ground after a 38% decline over the past month.

AVAX Holds Strong at Critical Support

AVAX has been trading within a descending triangle for three years, recently facing a sharp sell-off after rejecting resistance at $55.79. The decline accelerated following renewed U.S. trade tariffs under Donald Trump, pushing AVAX to a low of $21.20 before bouncing to $26.80. The 100-day SMA is now providing crucial support, a historically strong rebound zone.

Can AVAX Break Out?

If AVAX follows past trends, a move above the 50-day SMA could trigger a rally toward $38, the upper boundary of the descending triangle. However, much depends on Ethereum’s momentum—if ETH extends its recovery, AVAX could gain the strength needed for a breakout.

With AVAX holding key technical levels, traders are watching closely for the next major move.