google-news-img
spot_imgspot_imgspot_img

AAVE Crypto Surges 30%: Bullish Breakout Targets $500 Price?

  • AAVE breaks out above $330, reversing its trend and targeting $500 with bullish momentum.
  • 76% of AAVE holders are in profit, with $737.88M in large transactions over 7 days.
  • Low Bitcoin correlation (0.24) shows AAVE’s rally is driven by technicals and whale activity.

AAVE crypto has surged by 30% in the past week, breaking out of a descending channel and setting its sights on the $500 price target. Analysts and market data point to strong technical patterns. It also shows increased activity among large investors as key drivers of this bullish movement.

AAVE Crypto Breaks Out of Consolidation with $500 in Sight

AAVE price has been able to break free out of a descending channel that has contained its movements since December 2024. When it started above the $330 resistance level, the breakout was indicating its trend began bullish.

This is viewed as a reversal of the downtrend. A move from a downtrend, from the previous market control, into the control of the market, once again as buyers.

Analysts expect the breakout point to rise to $500, a 47.87% increase from previous levels. Support now begins at immediate $330, while resistance is close to $400 and $500 would be the next important level.

Source: X
Source: X

Indicators Show Momentum Building

The Bollinger Bands on the daily chart indicate that AAVE is about to enter the upper band of the Bollinger Bands at $360.43, and hence continuing its uptrend if the momentum holds up. Strong buyer interest has sent AAVE crypto above the middle band at $314.76.

Source: TradingView
Source: TradingView

The ADX (14) reads 14.49 and is weak overall trend strength. Nevertheless, the Directional Movement Index (+DI at 18.81 and -DI less than 18.81 at 15.53) shows increasing bullish pressure.

- Advertisement -

A consolidation phase is over as the DMI crossover signs trade returning to the buyers’ control while the ADX value still remains low.

AAVE Crypto Large Transactions and Whale Activity

According to IntoTheBlock data, 76% of AAVE holders are in profit and 15% are at a loss. Most investors bought at lower price levels, resulting in the confidence that they will hold.

Furthermore, AAVE’s supply is concentrated among large holders having 81% stake, which denoted high level whales and institutions’ participation in price movements.

Large investors show strong activity in the last seven days as transactions above $100K added up to $737.88 million.

Source: IntoTheBlock
Source: IntoTheBlock

A look at those same periods reveals that $2.41 million in net exchange outflows represented accumulation by holders moving tokens off exchanges and taking said tokens off the market.

AAVE’s Movement Decoupled from Bitcoin

With a correlation of 0.24 to Bitcoin, AAVE’s price does not do too much to reflect Bitcoin (BTC) movements. This means that while they are part of the larger crypto trend, they themselves are being fueled by internal market dynamics and technical patterns.

Now that the breakout is confirmed, AAVE key levels are still at $400 and $500 and they could form major milestones should they go up further.

Disclaimer

The contents of this page are intended for general informational purposes and do not constitute financial, investment, or any other form of advice. Investing in or trading crypto assets carries the risk of financial loss. The forecasted data (also called “price prediction”) on this page are subject to change without notice and are not guaranteed to be accurate.

Our Newsletter

Subscribe to our newsletter to get the latest news and promotions.

Kelvin Munene
Kelvin Munene
Kelvin is an experienced crypto journalist with over 6 years of experience backed by an Actuarial Science and English Degree. He has over 10,000 works published under his profile in several major media sites in the crypto, Web 3, and Finance sectors.