【$AVAX Signal】Hold Cash and Wait — Downtrend Continuation, Deep Imbalance, No Clear Support

$AVAX Continues to decline steadily on the 4-hour chart after breaking below EMA20, with heavy sell orders accumulating. Currently in a downtrend continuation pattern, no clear sign of a trend reversal.

🎯Direction: Hold Cash

Market Analysis: Price has broken below all short-term moving averages (EMA20: 8.856). RSI (36.44) is not oversold but continues to decline. The key points are the deep imbalance (-1.40%) and the buy/sell ratio (0.46), indicating selling pressure dominates and buying power is weak.

Hardcore Logic: Position volume remains stable, but funding rate is negative. Combined with falling prices, this is not typical short squeeze behavior but more like passive long liquidation or active short increase. The 4-hour candlestick shows each rebound high is decreasing, and the latest candlestick’s buy/sell ratio is only 0.46, indicating active selling during declines.

Order book shows that ask orders in the 8.573-8.592 range are significantly thicker than bid orders, forming a clear supply wall. Although there are buy orders around 8.55-8.57, their volume is insufficient to reverse the trend, more like a liquidity zone for weak rebounds.

Overall judgment: Currently lacking the “key support confirmation + buy absorption” structure needed for a bullish move, and also lacking the “high funding rate + decreasing open interest” top resonance for a bearish move. The best strategy is to hold cash and wait, looking for a support structure or a return above EMA20 with improved depth at lower levels (e.g., around 8.30-8.40 previous lows).

Trade here 👇 $AVAX

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