AVAX Price Prediction: Smart Money Positions for a Liquidity Sweep

AVAX is currently trading at $7.28, but the technical indicators suggest that it may be due for a correction before making its next move.

The MACD histogram has compressed to zero, indicating that the bullish impulse behind AVAX's recent price action has run out of steam.

The 24-hour range is narrow at $7.21 to $7.47 on low volume, and price has already fallen back from its session highs, sitting below its 7-day simple moving average of $7.43.

Traders familiar with AVAX's history know that it tends to grind out consolidations before making a significant move, and the current setup is indicative of this pattern.

The key levels to watch are the support zone at $7.05, which has strong support below, and the resistance level at $7.44, which aligns with the SMA 7.

Smart money positioning suggests that there may be a liquidity sweep setup in place, where over-leveraged longs on weak hands get flushed out, providing fuel for AVAX's next move.