- 1 Aave (AAVE) faced rejection from the prompt resistance mark of $100.
- 2 It formed a descending triangle formation and slipped below the 20-day EMA mark.
AAVE price dropped 15% after retesting the critical hurdle of $100 this week. Its on-chain data revealed a drop in the investors’ buying interest, which led to the rejection.
The DeFi lending platform displayed a decline and faced a correction of over 40% in the last two months.
Trading below the key moving averages, the price action reflected the lower low swings as the bulls failed to sustain at the $100 mark.
Amidst the crypto market downturn, AAVE failed to cross its resistance mark of $100. Recently, it was flipped from its demand zone of $80 and rose over 20% last week.
If AAVE holders push the altcoin above the $100 mark, it may reach the $110 mark, followed by the $115 mark. Nonetheless, the token is on the verge of showing a massive blow ahead. On the downside, the $80 mark is the make-or-break support zone for the bulls.
Could AAVE Succeed To Break $100 Mark This Month?
AAVE has been traded inside a descending triangle pattern for the past weeks and has continued to lose gains. Recently, the buyers have attempted to cross the $100 mark but failed and slipped below the 20-day EMA support.
At press time, AAVE was trading at $83.38 with an intraday drop of 5.05%, reflecting neutrality on the chart. It has a monthly return ratio of -17.90% and 8.20% yearly, reflecting a short-term decline.
The pair of AAVE/BTC is at 0.00145 BTC, and the market cap is $1.26 Billion. Analysts are neutral and suggest that AAVE may register a breakout and would cross the $100 mark soon.
AAVE Price Volume Chart | Source: Santiment
Per the daily chart, the token revealed a follow-on selloff and a decline of over 17% over the last three trading sessions.
Out of 26 technical indicators, none gave a buy signal, whereas 16 gave a sell alert, and 10 signaled a neutral view.
The RSI curve dragged below the midline region and conveyed a negative crossover. Per the Fib levels, the token is on the verge of the 23.6% zone and might get support there.
Massive Speculative Move in Weighted Sentiment Data: What Does it Mean?
In yesterday’s session, the weighted sentiment data witnessed a massive decline of over 328% and fell to the negative region, noted at -0.69, revealing a negative outlook.
Weighted Sentiment Data Chart | Source: Santiment
Meanwhile, the price volatility data witnessed a spike of over 43% to the 0.027 mark, highlighting sharp speculation among investors.
A tweet by @CryptoGorilla mentioned that the AAVE was consolidating and might breach the range hurdle soon.
$AAVE has been in a super long accumulation since June 2022, or simply said, shit can't seem to pump at all above a certain price.
— Crypto Gorilla (@Crypt0_gorilla) July 3, 2024
Looks good for a BANANA like curve if we can actually get that BULL RUN PARTY started. pic.twitter.com/ZerM1Qbw6B
Tweet by @CryptoGorilla | Source: X
The immediate support levels for AAVE are $80 and $78, whereas the key upside hurdle is around $95, followed by $105.
Futures OI Data Overview
The Futures data displayed negative flow. Open interest data shed over 12% to $53 Million, highlighting the long unwinding activity in the past 24 hours.
Futures Data Chart | Source: Coinglass
Are Bulls Trapped Near the $100 Mark?
AAVE slipped below its vital 20-day EMA support zone and faced sharp rejection from the $100 mark. Amidst the up move, the sellers have faded the gains and pushed the token over 15% this week.
Disclaimer
This article is for informational purposes only and provides no financial, investment, or other advice. The author or any people mentioned in this article are not responsible for any financial loss that may occur from investing in or trading. Please do your research before making any financial decisions.
