Will the AAVE price rally continue above $300 for a new 52-week high at $434 as the crypto market turns bearish for today?
With the crypto market turning volatile as 2025 is expected to witness less aggressive rate cuts, the DeFi tokens are in the limelight. As the majority of DeFi tokens turn bearish, AAVE positions itself as a ready-to-explode coin.
The technical chart sustains above critical levels and reveals massive upside potential for AAVE. Furthermore, the strong fundamentals attract multiple whales as President-elect Trump promises smooth regulations in 2025.
Amid the sudden surge of bearish influence over the crypto market, Aave has taken a hit of 8.32% over the past 24 hours. Despite the intense bearish hit, the DeFi token sustains a market cap of $5.1 billion.
Currently, the Aave token is trading at a market price of $340, registering a gain of 106% over the past 30 days. In the 4-hour chart, the price trend reveals a bearish breakdown of a consolidation range.
The range breakdown tests the center pivot level at $329.68. With a 24-hour low formation at $322, the current market price reveals a recovery of 5.61%.
With a quick reversal from the center pivot level, the Aave token avoids a retest of the long-coming support trend line. However, the recovery run might come as a retest of the support trend line.
The 4-hour RSI line is inching closer to the oversold boundary zone, reflecting the surge in selling pressure. Thus, as the RSI line prepares for a dip under 30%, the reversal chances will significantly increase.
During the recent crash, Whale capitalized on discounted prices to accumulate more Aave tokens.
Despite a profit of $15.3 million, the whale has decided to expand its long position in Aave. Over the past 10 hours, the Whale has borrowed 3 million GHO tokens and spent $3.18 million in GHO and WBTC to buy 9,702 Aave tokens.
A whale with a $15.3M profit continues to expand its $AAVE long position after the price dropped today!
In the past 8 hours, the whale borrowed 3M $GHO and spent $3.18M (in $GHO and $WBTC) to buy 9,702 $AAVE.
Since October 13, the whale has purchased 96,800 $AAVE at an average… pic.twitter.com/9otB6zRlTC
— Spot On Chain (@spotonchain) December 19, 2024
Since October 13, the Whale has purchased 96,800 Aave tokens at an average price of $183.4. This is worth $17.8 million and has pushed its unrealized profit to $15.31 million, registering an 86.2% rise.
In case the broader market recovers or stabilizes, the DeFi token will witness calmer waters for sustained growth. In case of a bullish takeoff from the support trend line, it will likely test the pivot resistance level at $434.39.
On the flip side, if Bitcoin cracks under $100k again, the Aave coin price will likely break below the support trendline for a prolonged correction. The crucial support levels for the DeFi token below $300 are $285 and $263.
In conclusion, AAVE remains a strong contender in the DeFi space despite recent market volatility. Furthermore, as a confident whale continues to accumulate, AAVE is likely to continue the bull run.
Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
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Vishal, a Bachelor of Science graduate, began his journey in the crypto space during the 2021 bull run and has since navigated the subsequent market winter. With a strong technical background, he is dedicated to delivering insightful articles rich in technical details, empowering readers to make well-informed decisions.
