$AVAX Rally Hinges on Clearing Lower High and Sustained Buying Pressure

Avalanche's recent price surge has raised questions about its sustainability, particularly when viewed through the lens of the 1-month Liquidation Heatmap.

According to CoinGlass, the chart reveals limited to no upside liquidity clusters above the current price, but multiple clusters with strong depth below it.

This means that AVAX's rally could be dependent on momentum to continue further, or alternatively, be pulled lower by the downward clusters, causing it to lose its recent gains.

In addition, while accumulation is ongoing for AVAX in the market, the Accumulation/Distribution Indicator (A/D) reveals massive buying with a volume-weighted purchase of 122 million, indicating investor sentiment and expectations.

However, the Aroon Indicator, which shows the market's directional bias over price using two lines, Aroon Up and Aroon Down, confirms that AVAX is bullish but with a low scale of bullishness due to the minimal gap between the two lines.