Analysts Are Optimistic & TVL Rising; Can AAVE Rise To $160 Soon?

• 1 AAVE’s Total Value Locked (TVL) indicates increased market trust and reduced risk. 
• 2 AAVE shows a bullish crossover in MACD, and the RSI is above the 50 median line.
• 3 Analyst James CryptoGuru (@Jamyies) anticipates a long-term bounce, with solid supports at $70 and $50 levels. 

The AAVE crypto Total Value Locked TVL has been running, reflecting the changing market participation dynamics. Increased  TVL makes the AAVE asset more reliable and less riskier. The total TVL is a whopping $12.462 Billion, per the DefiLlama.

Analysts Are Optimistic In AAVE

Analyst James CryptoGuru (@Jamyies) made a Tweet consisting of a monthly chart drawing of the AAVE crypto and his thoughts, where he expects a bounce to come in the long term.

He also hypothetically claimed that $70 and $50 looked strong support for the bounce to propel, and $50 support has an 80% of getting a retest for large quantity buys.

Decoding the Entire AAVE Price Activity Over Weekly Chart!

The AAVE had a great price action; the price propelled from $50 to $663 by May 17th, 2021, also known as the All-time high of the asset. After that, the bearish pressure took control, with the entire crypto landscape bearish; the deterioration led the price to the old major support at $50 by May 23rd, 2022. 

Thereafter, the bears tried multiple times to keep the AAVE below trendline resistance from May 23rd to Sep 11th of 2023 and to break the $50 crucial support. Despite bearish attempts, the support managed to keep a hold of the level. AAVE’s $50 support had proven robust on the weekly chart.

AAVE Price 1-Week | Source: TradingView

From the last push from $50 support on Sep 11th, 2023, the AAVE was in a tight and narrow situation, where the bears lost their traction, and bulls led the AAVE to jump above the resisting trendline.

The breakout in AAVE rose until March 11th, from $50 to $160, giving investors the joy of 3x gains. The profit booking price led the price to decline towards $80, which appears like a resistance turned support.

Overall, in the long term, the AAVE price looks more than primed toward reclaiming the lost territories.

Is BTC Acting as a Catalyst for the AAVE Price Action?

The AAVE price rose from $80 on Feb 4th, 2024, to $160 by March 13th, 2024, in response to the rally of BTC from $38774  to $74025. At the top in BTC, the buyers tried three times to rise, but by April 9th, it failed and declined, which influenced AAVE to decline its 50% gains from $160 to $80, and it was back to its previous support on the daily chart.

After that, despite bearish attempts, the support of $80 managed to keep a hold on for longer in AAVE. From the same critical support, the buyers again tried to rise by May 13th, 2024, following the BTC lead. However, the BTC price again failed to surpass the supply resistance zone and plummeted, returning itself and AAVE to their strong support.

On the daily chart, the AAVE price has been looking primed for another surge this week, as it surged 11.71% in the past week. At press time, the price traded at $91.60, holding 62nd rank on CoinMarketCap with a market cap of $1.357 billion. The volume-to-market cap ratio highlights moderate liquidity.

Therefore, if BTC Rises, the AAVE could gain target levels of $115 and $160. Conversely, if the BTC sell pressure increases and it slips to the next support at $56,677, the AAVE price could also slip to $50.

Summary

AAVE’s Total Value Locked (TVL) stands at an impressive $12.462 billion, indicating increased market trust and reduced risk. 

Analyst @Jamyies anticipates a long-term bounce, with strong support at $70 and $50. 

Current trends suggest AAVE is poised for another rise, trading at $91.60 with moderate liquidity. Future movements may mirror Bitcoin’s price actions, potentially reaching $115 or $160 or dropping to $50.

Disclaimer

In this article, the views, and opinions stated by the author, or any people named are for informational purposes only, and they don’t establish the investment, financial, or any other advice. Trading or investing in cryptocurrency assets comes with a risk of financial loss.

Adarsh ​​Singh

Adarsh Singh is a true connoisseur of Defi and Blockchain technologies, who left his job at a “Big 4” multinational finance firm to pursue crypto and NFT trading full-time. He has a strong background in finance, with MBA from a prestigious B-school. He delves deep into these innovative fields, unraveling their intricacies. Uncovering hidden gems, be it coins, tokens or NFTs, is his expertise. NFTs drive deep interest for him, and his creative analysis of NFTs opens up engaging narratives. He strives to bring decentralized digital assets accessible to the masses.