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Chiliz (CHZ) and Avalanche (AVAX) Braced for Volatility Following Japan DMM Bitcoin Listing

2 mins
Updated by Geraint Price
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In Brief

  • CHZ is now listed on Japan's DMM exchange.
  • It has created a double top pattern.
  • AVAX has broken down from an ascending support line.
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Chiliz (CHZ) has been retracing since creating a short-term bearish pattern, but the long-term trend remains bullish. Avalanche (AVAX) has yet to show any bullish reversal signs.

Japan’s domestic cryptocurrency exchange, DMM Bitcoin, has announced it will start handling new transactions of CHZ and AVAX. In the case of CHZ, this is the first time that a Japanese cryptocurrency exchange is listing the token.

The project has other positive news coming in, with OKX announcing that it will list three more fan tokens based on several rounds of voting.

CHZ creates double top

Chiliz has experienced a 12% decrease over the past 24 hours, increasing the risk of a steeper correction. The decrease occurred after the price created a double top, which is considered a bearish reversal pattern. 

The double top was also combined with bearish divergence (green line) in the RSI, increasing the possibility of a breakdown. 

The wave count is also in alignment with this movement. After a completed five-wave upward movement that began in June, it seems that CHZ has just completed the B wave of an A-B-C corrective structure (black).

If so, the C wave is expected to be completed near the 0.618 Fib retracement support level at $0.152, giving waves A:C a 1:1 ratio.

Despite the short-term double top pattern, it is possible that CHZ has begun a long-term bullish reversal. Therefore, it is not expected to fall below its yearly lows.

CHILIZ Double Top
CHZ/USDT Chart By TradingView

AVAX

AVAX is very close to its yearly lows of $13.71. The price has been falling since Aug. 13 and broke down from an ascending support line on Aug. 20. 

Currently, it is approaching its yearly low support area at $15. If it breaks down, AVAX could fall all the way down to the next closest Fib support at $9. 

The daily RSI has already broken down from its bullish divergence trend line, so it is possible that the price will do the same.

AVAX Support
AVAX/USDT Chart By TradingView

For Be[In]Crypto’s latest Bitcoin (BTC) analysis, click here

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Disclaimer

In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions. Please note that our Terms and ConditionsPrivacy Policy, and Disclaimers have been updated.

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Valdrin Tahiri
Valdrin discovered cryptocurrencies while he was getting his MSc in Financial Markets from the Barcelona School of Economics. Shortly after graduating, he began writing for several different cryptocurrency related websites as a freelancer before eventually taking on the role of BeInCrypto's Senior Analyst. (I do not have a discord and will not contact you first there. Beware of scammers)
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