Avalanche's AVAX token has declined 2.24% over the past 24 hours to $13.16 according to the latest market data. Here are some key takeaways for Avalanche traders:

Short-Term Downtrend Remains Intact

AVAX has been in a short-term downtrend for over a week now, with prices falling 5.42% over the past 7 days. The 2.24% 24-hour drop extends this downward momentum despite low trading volumes.

Technical indicators reflect bearish conditions currently. The MACD has crossed into negative territory while the RSI sits below 50. Previous support around $15 has flipped to resistance on the pullback.

Major Support Around $12.50 in Focus

The recent sell-off has Avalanche testing the key support zone around $12.50. This area marks the 2021 highs and has repeatedly held as support this year.

Bulls want to see AVAX reverse higher and reclaim the $12.50 level. Otherwise, additional support sits around $10 which could be tested next. Holding $12.50 will be key for preventing further downside in the short-term.

Broader DeFi Weakness Weighing on Price

The DeFi sector that Avalanche targets has seen significant weakness in recent months. As risk appetite diminishes, traders have moved to the safety of stablecoins rather than DeFi tokens.

This rotation out of DeFi could make it difficult for AVAX to stage a sustained rebound until sentiment improves. Use proper risk management if $12.50 support fails. Upside appears limited short-term without a DeFi revival.

crypto-traders-focus-on-fundamental-or-technical-analysis">Should Crypto Traders Focus on Fundamental or Technical Analysis?

There are good arguments for crypto traders to utilize both fundamental and technical analysis:

• Fundamentals - Evaluating project teams, tokenomics, roadmaps paints the big picture. Reveals true utility value.
• Technicals - Identifying trends, support/resistance levels, indicators vital for timing entries and exits.

In reality, combining both fundamental and technical analysis provides the most complete view for trading decisions:

• Fundamentals provide the narrative and valuation estimates. Sets overall directional bias.
• Technicals reveal ideal short-term entry and exit points. Manage risk and position size.

Relying solely on one over the other means missing key information. Experienced traders know blending fundamental diligence with technical signals yields the highest probability outcome.

Will Increasing Crypto Regulation Help or Hurt the Market Long-Term?

There are arguments on both sides of crypto regulation:

• Help - Legitimizes market for institutions/mainstream. Protects consumers from fraud. Provides legal clarity.
• Hurt - Stifles innovation with bureaucracy. Significant compliance costs. Undermines decentralization.

The fair perspective is judicious crypto regulation allows growth while protecting participants:

• Guards rails enable innovation without overreaching restrictions.
• Thoughtful rules attract institutional investment safely.
• Compliance costs manageable relative to the benefits.
• Decentralization remains largely intact.

Therefore, reasonable crypto regulation that nurtures innovation while shielding consumers will likely benefit the market over the long-run.