|
Getting your Trinity Audio player ready...
|
- Whale buys $3M AAVE, signaling renewed confidence.
- Technical indicators and wedge structure favor upside.
- Spot and futures activity align, supporting breakout potential.
AAVE is showing signs of renewed bullish interest as traders increase long exposure and whales make strategic moves. One prominent wallet recently accumulated 16,991 AAVE tokens worth $3 million, signaling growing confidence around current levels. Holding an additional $5.79 million in USDC, the whale has potential to add more buying pressure if AAVE maintains stability near its key support. This activity coincides with tightening liquidity around the wedge’s lower boundary, increasing the likelihood of significant price reactions.
Technical Indicators Point to Potential Breakout
At press time, AAVE trades around $166.06, slightly above the crucial $165.08 support level inside a falling wedge pattern. This support has consistently held, reinforcing the strength of the structure. Technical indicators support the bullish outlook: the Parabolic SAR has flipped below the price, and the MACD line sits above the signal line, confirming upward momentum. With price approaching the wedge’s descending upper boundary, a breakout appears imminent, potentially targeting $182.41, with $200.08 as the next major objective if momentum accelerates.
Spot and Futures Activity Strengthens Bullish Case
Spot Taker CVD highlights strong buyer dominance, indicating genuine accumulation rather than speculative trading. Rising spot demand aligns with whale inflows, creating synchronized pressure from retail, smart money, and large liquidity pockets. Additionally, AAVE’s positive funding rate near 0.0095% and aggressive long activity in futures markets demonstrate that traders anticipate upward continuation. This alignment between spot and derivatives markets supports the broader reversal narrative, signaling potential for sustained gains.
AAVE Poised for Upside
With whale accumulation, rising spot demand, and supportive derivatives activity, AAVE shows a favorable setup for a breakout from its falling wedge. Traders and investors watching this altcoin may find the current structure appealing, as technical and market signals converge toward bullish momentum. If support around $165.08 holds, AAVE could be set for a significant upward move, reinforcing confidence in this popular DeFi token.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
Also Read: Aave Gains 4% Despite $682M Outflows
I’m your translator between the financial Old World and the new frontier of crypto. After a career demystifying economics and markets, I enjoy elucidating crypto – from investment risks to earth-shaking potential. Let’s explore!
