Avantis (AVNT): Market Volatility and Key Insights
The Avantis (AVNT), a Base-specific altcoin, has been at the center of attention in the crypto market over the past week. This token, launched on September 9, has seen its share of volatility, swinging from a high of $1.54 to a current price near $1.13, a dip of over 15% in just 24 hours. Early investors might be on edge, but on-chain data gives some hope despite the turbulence.
Heavy Selling from Airdrop Recipients
One of the primary reasons for the recent dip in AVNT’s price can be attributed to significant selling pressure. Exchange balances jumped by 46.5 million AVNT tokens over the past day, bringing the total to 105.61 million AVNT, or approximately $119 million. This sharp increase points to a large number of airdrop recipients cashing out their tokens, likely to lock in early profits.
Whales to the Rescue?
Interestingly, crypto whales seem to be countering this massive sell-off. Data indicates that top 100 wallets, along with other large holders, have absorbed around 49.9 million AVNT tokens, worth approximately $56.4 million. These whales are stepping in to stabilize the price by defending key support levels, signaling bullish confidence despite short-term turbulence.
What Does RSI Data Reveal?
The Relative Strength Index (RSI) provides a clearer picture of market momentum. Initially, AVNT faced a bearish RSI divergence, where the price hit higher highs, but the RSI formed lower highs. This signaled weakening strength in the uptrend, leading to the recent drop. However, a new hidden bullish RSI divergence has emerged, where the price is forming higher lows while the RSI hits lower lows. This pattern often hints at diminishing selling pressure, which aligns with whales absorbing excess supply.
Key Levels to Watch
Looking at AVNT through a technical lens, there are critical levels to monitor:
- Resistance: A 4-hour close above $1.25 would confirm a bullish breakout, possibly paving the way to retest $1.49 and further upward momentum.
- Support: A drop below $1.04 could open the door to steeper corrections, potentially pushing AVNT to $0.85 or even $0.70.
Expert Recommendation
For those looking to capitalize on opportunities, timing is critical. Avantis’s recent performance highlights the dynamic interaction between airdrop-driven selling and whale activity. If you’re exploring crypto or DeFi projects, consider leveraging analytics tools like CoinMarketCap or investment platforms to monitor real-time market shifts and trends.
Conclusion
The next 24 hours could be pivotal for AVNT. Whether whales can hold the line at $1.25 or a breakdown occurs below $1.04 will determine the token’s short-term trajectory. Meanwhile, this tug-of-war between supply and demand offers lessons in market dynamics that can benefit seasoned and new investors alike.
