AAVE’s bullish movement in the past month will likely extend further.
- Several key metrics underpinned AAVE’s expected rally, although its success hinged on overcoming a major resistance level in its third attempt. Failure to surpass this resistance could see the price plummet to as low as $116 or $113.5.
As of press time, Aave [AAVE] achieved a 6.63% rise over the past 24 hours, despite its inconsistent performance over the week.
Maintaining this momentum could nullify the week’s losses and position AAVE for a higher trajectory than observed in the last two weeks.
What’s next for AAVE? Is a significant rally on the horizon, or is it still some way off?
AAVE’s rally appears imminent
As of this writing, AAVE has gained momentum in its efforts to break through the resistance at $153.72—a level known for significant selling pressure that has previously driven the price down on three occasions.
If this resistance is successfully breached, the next target for AAVE is $236.45, where a substantial liquidity cluster is indicated on the chart.
A nearer target, however, lies at $162.60, a level with nearby resting liquidity as identified by Hyblock.
Should AAVE fail to attract traders at this juncture, the price may fall to $113.50, another area with a notable concentration of liquidity.
Source: Hyblock Capital
Profitable traders set to maintain buying pressure on AAVE
According to IntoTheBlock, the “In/Out of the Money Around Price” indicator shows a considerable number of traders were “In the Money” at press time, implying profitability from holding AAVE.
At press time, 9.06k addresses were profitable, comprising 71.04% of all AAVE holders, which suggested that these investors may continue to push the price upward.
Source: IntoTheBlock
The 46.48% reduction in active addresses was a bullish indicator, signaling that fewer holders are inclined to sell and prefer to hold their assets instead.
This trend is corroborated by a decrease in AAVE’s circulating supply on exchanges over the last 24 hours, reflecting a strong holding pattern among investors.
Potential fall to $116 threatens growth
Over the past month, AAVE has achieved a 12.84% growth, as reported by CoinMarketCap.
However, this growth has hit a roadblock, failing to overcome a significant resistance range between $142.69 and $153.72 on its third attempt.
As of press time, AAVE was preparing for another attempt to breach this critical level.
Analysis from AMBCrypto suggested that AAVE was poised to surpass this barrier, as it trades within an ascending triangle—a pattern well-known for its bullish implications.
A successful breakout from the ascending triangle could mimic its previous trajectory from the base to the upper boundary of the ascending channel, potentially reaching as high as $236.45, marked with a black arrow on the chart.
Source: Trading View
Conversely, should the ascending channel breakdown occur, AAVE might see a decline to $116, a figure closely aligned with the $113.50 liquidation point highlighted on Hyblock’s liquidation charts.
AAVE aims for a $236 target, facing crucial resistance at $153.72. Discover insights on its bullish trends and key resistance points, influencing its market trajectory.
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