Avalanche (AVAX) faces technical uncertainty despite recent price surge

Avalanche (AVAX) has recently experienced a bullish trend, including a daily price surge of over 12%. However, technical indicators suggest the sustainability of this rally is uncertain.

Liquidation heatmaps show limited upside liquidity clusters, meaning the price may rely heavily on momentum to continue rising. Conversely, significant downward liquidity clusters exist, which could act as magnets pulling the price lower and erasing recent gains. While the Accumulation/Distribution Indicator shows massive buying with volume-weighted purchases hitting 122 million, the Aroon Indicator shows a minimal gap between bullish and bearish signals, suggesting a weak directional bias.