The writer's opinion presented in the following information should not be considered as financial, investment, trading, or any other type of advice. AVAX has experienced a pullback that has reached a significant confluence of 50% Fib and demand zone. The Open Interest and liquidation were against the bulls. Although the current price of AVAX presents a good buying opportunity, the weak Bitcoin price action could negatively affect long positions. The altcoin has suffered an 18% loss since mid-July, exposing it to short-sellers' profit during the pullback. The confluence area could offer re-entry options for bulls only if BTC clears its immediate resistance. However, weak buying pressure and demand for AVAX could undermine bulls, as shown by the RSI and CMF indicators. The Open Interest rates have declined since mid-July, emphasizing a drop in demand and overall bearish sentiment in the futures market. AVAX bulls could only have an edge at the confluence area if BTC crosses the $29.5k resistance and advances further.
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