Bitget App
Trade smarter
Open
HomepageSign up
Bitget>
News>
Markets>
AVAX Shows $0.636 Short-Term Bubble Risk as Traders Track New Cycles

AVAX Shows $0.636 Short-Term Bubble Risk as Traders Track New Cycles

Cryptonewsland2025/12/12 03:30
By: by Yusuf Islam
AVAX+1.56%WAVES-1.14%
  • AVAX holds a 0.636 risk level, as the chart reveals repeated cycles where short-term heat fades, and new waves take form across several zones.
  • The pattern shows red and yellow zones where traders saw rising heat, while deep blue phases marked cooler stretches with lower near-term pressure.
  • AVAX now sits near a mixed zone as price action forms a new band that traders follow to see if fresh demand can guide the next move upward.

AVAX showed a short-term bubble risk reading of 0.636 as the latest chart revealed changing sentiment cycles and a series of heat zones that shaped price behavior from early 2021 through late 2025. The visual tool used in the image-mapped AVAX price swings against multiple risk bands that ranged from deep blue cooling phases to high heat red spikes connected with major market peaks.

The latest reading placed AVAX in a bearish state, which indicates subdued short-term strength as traders watch how the current pattern evolves into the next market phase.

Risk Waves Form Repeated Cycles Across the Chart

The chart presented clear rhythmic behavior where AVAX moved through sequences of rising heat followed by cooling pressure, which often matched turning points in price action. Red zones showed moments when risk readings exceeded 2.0, which historically aligned with sharp tops while yellow and orange zones showed rising pressure that signaled elevated demand before new cooling phases took hold.

$AVAX Short Term Bubble Risk pic.twitter.com/Gj3MqGW2WZ

— Into The Cryptoverse (@ITC_Crypto) December 10, 2025

Deep blue areas represented readings below 0.5, which formed during extended periods of loss or slow accumulation. These zones appeared around major resets in mid-2021, late 2022, and late 2024 when prices retreated into multi-month lows.

Green and light blue areas formed during moderate-risk phases, where AVAX started to build strength without reaching overheated levels. These zones often acted as bridges between major cycles and provided traders with early signals that a shift was underway.

Price Patterns Reveal Key Turning Points

The image plotted the AVAX price from below 4 dollars in early 2021 to the peak above 100 dollars later that same year. This was followed by several large swings that moved across the full range of risk bands.

During each peak, the chart recorded large clusters of orange and red readings, which mapped periods where short-term heat reached extreme territory. Traders monitored these spikes closely because they often signaled limited remaining upside.

Cooling phases formed whenever risk readings fell beneath 1.0, and deep blue zones filled the chart during long resets. These reset phases mirrored the broader cycle structure seen in many digital assets and provided traders with frameworks for interpreting future behavior.

Current Reading Points to a New Market Phase

The latest value of 0.636 placed AVAX in a mild cooling phase where pressure remains contained, yet movement could shift quickly if demand pushes risk levels toward yellow zones.
The pattern shows mixed readings near the current timeframe with small patches of yellow that formed during recent price attempts to regain higher levels. This mixed area indicates early strength yet does not reflect the kind of sustained heat seen in earlier peaks.

The key question now is whether AVAX can escape the cooling band and form a new buildup sequence similar to earlier cycles, where moderate green zones appeared before strong pushes into higher price regions.

AVAX traders continue to watch the latest risk reading as the tool signals a market that seeks direction, while historical cycles show how each rise or reset formed across the chart.

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
PoolX: Earn new token airdrops
Lock your assets and earn 10%+ APR
Lock now!

You may also like

Financial Wellness Emerging as a Key Investment Trend: Psychological and Structural Factors Shaping Sustainable Wealth Over Time

- 2025 investment trends prioritize financial wellness driven by behavioral economics and systemic factors like inflation and AI-driven tools. - Budgeting apps (YNAB, Mint) and automation platforms (Digit, Acorns) address debt management and savings discipline amid $1.17T U.S. credit card debt. - ETFs like iShares IYG and Global X FINX target financial wellness infrastructure, while Vanguard's inflation-protected ETFs cater to capital preservation needs. - Systemic shifts force "cascading waterfall" financ

Bitget-RWA2025/12/12 13:10
Investing for Tomorrow: Eco-Friendly Energy Systems and the Growth of Green Cities

- Global climate-conscious energy infrastructure is accelerating, driven by tech innovation and urban decarbonization needs, with cities accounting for 70% of carbon emissions. - Smart grids and AI are transforming energy systems: grids optimize distribution (e.g., Amsterdam/Singapore), while AI cuts building energy use by 30% via automation and analytics. - Renewable energy investments hit $2.2T in 2025, led by solar (cheapest electricity source), but emerging markets face funding gaps despite hosting 40%

Bitget-RWA2025/12/12 13:10
Astar 2.0’s Influence on AI Infrastructure and Cloud Computing Sectors: Evaluating Changes in AI Hardware Requirements and Emerging Investment Prospects

- Astar 2.0's blockchain innovations in cross-chain interoperability and scalability aim to reshape AI infrastructure by optimizing data flow and reducing latency. - Partnerships with Sony and Toyota demonstrate blockchain-enabled AI logistics applications, enhancing transparency and operational efficiency in supply chains. - Deflationary tokenomics and institutional adoption strategies position Astar to capitalize on AI hardware growth, with analysts projecting $0.80–$1.20 ASTR valuation by 2030. - The pl

Bitget-RWA2025/12/12 12:20
ZK Technology Experiences Rapid Growth in 2025: Could This Mark a Turning Point for Web3?

- ZK technology is driving Web3 mainstream adoption in 2025 with scalability breakthroughs and institutional adoption. - ZK rollups now exceed $3.3B TVL, proving scalability without compromising security through 43,000 TPS performance. - 35+ institutions including Goldman Sachs and Sony have integrated ZK solutions for confidential transactions and NFT verification. - Developer participation surged 230% in 2025, with ZK Layer 2 market projected to reach $90B by 2031 at 60.7% CAGR. - Investors show cautious

Bitget-RWA2025/12/12 11:42

Trending news

More
1
Financial Wellness Emerging as a Key Investment Trend: Psychological and Structural Factors Shaping Sustainable Wealth Over Time
2
Investing for Tomorrow: Eco-Friendly Energy Systems and the Growth of Green Cities

Crypto prices

More
Bitcoin
Bitcoin
BTC
$92,384.84
+2.59%
Ethereum
Ethereum
ETH
$3,246.87
+1.46%
Tether USDt
Tether USDt
USDT
$1
+0.00%
XRP
XRP
XRP
$2.04
+1.78%
BNB
BNB
BNB
$888.41
+2.43%
USDC
USDC
USDC
$1.0000
+0.01%
Solana
Solana
SOL
$139.41
+6.23%
TRON
TRON
TRX
$0.2775
-1.09%
Dogecoin
Dogecoin
DOGE
$0.1411
+2.32%
Cardano
Cardano
ADA
$0.4253
+2.16%
How to buy BTC
Bitget lists BTC – Buy or sell BTC quickly on Bitget!
Trade now
Become a trader now?A welcome pack worth 6200 USDT for new users!
Sign up now
Trade smarter