- AAVE continued to rally at press time, with the RSI at 74 pointing towards surging shopping for exercise.
- The value has damaged out of the double backside formation, with the following key resistance degree at $154.
Aave [AAVE] has prolonged its 37% weekly rally to commerce at $136 on the time of writing, in response to CoinMarketCap. Buying and selling volumes have additionally elevated by 20% within the final 24 hours.
The positive aspects come amid rising market curiosity and shopping for exercise round AAVE. Whales are already making waves across the token, having purchased over $8M price of AAVE in current hours.
Analyst Daan Crypto, on X (previously Twitter), famous that this could be the time to concentrate to AAVE as the value exhibits indicators of breaking previous the two.5-year vary.
So, is AAVE ripe for extra positive aspects?
technical indicators
A take a look at AAVE’s worth motion since dropping to a two-year low in June 2022 exhibits that it has damaged previous key resistance ranges.
AAVE has examined the 0.618 Fibonacci degree of $112 twice and held the value above this zone.
The token has additionally examined one other key resistance at $130, and if it breaks by way of, the following goal will probably be a two-year excessive at $154.
Since dropping from the March 2024 highs, AAVE has made a double-bottom formation. That is often a bullish reversal sample preceded by a major rally.
The token has additionally damaged above the neckline of the double backside sample, paving the way in which for a rally to $154.
The Relative Power Index (RSI) at 74 indicated that robust shopping for strain was behind AAVE’s rally.
Whereas the RSI is headed in the direction of overbought areas, there may be nonetheless room for extra positive aspects earlier than a possible correction. The RSI peaked at 86 throughout earlier rallies earlier than short-term merchants took income.
The Shifting Common Convergence Divergence (MACD) line is above the sign line, which can be bullish. The MACD histogram bars have grown longer because the fifteenth of August, reflecting stronger bullish sentiment.
So long as the MACD histogram bars develop longer on surging shopping for exercise, the rally is more likely to proceed.
Extra bullish indicators for AAVE?
Information from Santiment confirmed that the variety of every day lively AAVE addresses has reached the best ranges since July 2023.
Lifelike or not, right here’s AAVE’s market cap in BTC’s terms
This can be a bullish indicator, which signaled rising demand across the token and rising market curiosity.
AMBCrypto’s take a look at Coinglass knowledge additionally confirmed that AAVE’s Open Curiosity had soared to the best degree since 2021. For the reason that 1st of August, OI has surged from $93 million to $191 million on the time of writing.