Avalanche: Risk being 2% of capital, retest of this level can be used to go…

ambcrypto.com:

Disclaimer: The information presented does not constitute, financial, investment, trading, or other types of advice and is solely the opinion of the writer. 

Avalanche has been quite bearish on the charts, but on lower timeframes, the $28 and $24 levels have been important support levels in the past two weeks. At press time, Avalanche was trading beneath both these levels and offered an opportunity to enter a short position on the coin.

Bitcoin lacked bullish strength as it bounced weakly from the $28.7k support level. Ethereum was also shedding value, and if these two market leaders see a strong move downward, AVAX is bound to follow swiftly.

Source: AVAX/USDT on TradingView

On the daily chart, it can be seen that the price has set a series of lower highs since November. The market structure flipped to bearish in January when the price slipped below the $79.8 mark after setting a lower high in December.

In late March, the price rallied to $100 once again but this did not lead to the bullish breakout that buyers might have hoped for. Instead, a firm rejection at $100 was followed by a near 80% drop in April and May.

The price still has not entered a phase of accumulation, and further lows could be seen after a session close below the $24 mark.

Source: AVAX/USDT on TradingView

A set of Fibonacci retracement and extension levels (yellow) was plotted based on AVAX’s drop from $69.52 to $23.51. At the time of writing, the price dropped below the $23.51 level once again. This meant that the price was quite likely to continue further south, and head toward the 23.6% extension level at $12.65.

Before $12.65, there are two other levels of important support at $20.81 and $15.6 which AVAX could see a bullish reaction. The $20.8 level acted