AAVE has seen a notable 3.8% increase in value over the past day, contributing to a remarkable 25% surge since the beginning of the week. The token's price crossed through a significant resistance level at $311.50, accompanied by strong trading volume, signaling a possible continuation of its upward trend. This price breakout coincides with recent discussions by the U.S. Securities and Exchange Commission (SEC) about the DeFi sector, which included Chair Gary Gensler's comments on exploring regulatory exemptions for DeFi firms. Many analysts express a positive outlook on AAVE's long-term prospects, with price targets reaching as high as $1,000, although such claims should be considered with caution. The fundamentals supporting AAVE, including its widening adoption, establish its prominence in the DeFi sector. On the technical side, AAVE has built a solid support range between $302.35 and $302.52. It notably exceeded this resistance at $311.50 with heightened volume of 179,461 units, significantly surpassing the daily average by over 140%. This recent activity reflects increased volatility, as the price formed an ascending channel after a period of consolidation between $305 and $310. After a selloff in the afternoon saw a volume spike, support was identified around $312.00, marking a Fibonacci retracement level of 38.2%. AAVE's closing price consolidated between $312.00 and $312.60 with declining volume, indicating potential stabilization before its next move.
AAVE Surges Past Resistance Amid Growing DeFi Interest
AAVE token has risen by 25% this week, breaking through a key resistance point as optimism grows around the DeFi sector following developments from the SEC.
Jamie Bennett
Crypto Analyst
5 min read
42,094
Analysis
Market Sentiment
Bearish
Neutral
Bullish
News Impact
8/10
Credibility: 9/10
Trading Recommendation
AAVE
AAVE
BUY
Entry Price
$312.6
Confidence
80%
Stop Loss
$302
Take Profit
$350 - $400
AAVE is in a breakout phase with strong bullish momentum and positive news around DeFi regulations, indicating potential for upward movement.
