AVAX alert: Why a drop to $11 could be near as whales exit the market

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Analyzing AVAX potential drop to $11 amid withdrawals by whales and retail investors, with insights from AMBCrypto on bearish trends and possible bullish reversals.

Whales and retailers are rapidly selling off their AVAX holdings but a little hope remains.has been sharply bearish, with a 17.13% decline over the past week, and prospects for recovery seem slim.

Concurrently, the number of large transactions also grew, from 166 to 297 transactions within the same timeframe.Typically, such spikes might suggest a bullish trend, but the accompanying decline in AVAX’s price indicates otherwise. In simpler terms, it appears that whales, or large holders, are offloading their AVAX to cash out on profits, transferring their holdings to a wider range of smaller investors—a move that often signals a potential further decline in price.

A positive Netflow indicates that the volume of AVAX being deposited on these exchanges surpasses the amount being withdrawn, suggesting an increased willingness among traders to sell rather than hold.This situation also means that a surge in inflows contributes to an increased circulating supply on exchanges which will further exert downward pressure on the price.

 

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