Upcoming Avalanche (AVAX) Token Unlock Highlights Trader-Whale Divide

Avalanche Funding Rate. Source: Santiment

A negative funding, as in AVAX’s situation, implies a bearish sentiment, suggesting that traders expect the price to fall. However, whales appear to have a different outlook. According to IntoTheBlock, the Large Holders Netflow on Avalanche’s network has risen by 33.66% in the past seven days.

This netflow represents

represents the difference between Large Holders’ Inflow and Outflow. An increase in netflow indicates that whales are accumulating more than they are selling, while a decrease suggests greater distribution.

The positive difference for AVAX suggests accumulation. From a price perspective, if this trend continues, it could signal increased confidence in a strong short-term performance for AVAX.

Avalanche Large Holders Netflow. Source: IntoTheBlock

AVAX Price Prediction: No Victor, No Vanquished

At press time, AVAX trades at $21.27 and has been hovering around the same region for the past few days. In between this consolidation, the token briefly slipped below $20 on August 8, as seen on the daily chart.

The Moving Average Convergence Divergence (MACD) shows bearish momentum for AVAX. The MACD measures momentum by calculating the difference between two moving averages. When the MACD reading is above the signal line, it indicates bullish momentum; when below, it signals bearish momentum. For AVAX, the MACD is below the signal line, suggesting that a breakout could be difficult.

Additionally, AVAX may continue consolidating between a swing low of $20.43 and a swing high of $22.79. The Fibonacci retracement indicator provides further insights into potential support and resistance levels.