Aave (AAVE) Price Shows Bullish Signs
At writing on Friday, Aave (AAVE) trades above $204. It nears the top of a descending parallel channel. A breakout above this line would favor buyers. On-chain and derivatives data also support a bullish outlook. The technical target points to a rally above $296.
On-Chain and Derivatives Data Support Rally
- CryptoQuant data shows large whale orders in Aave’s spot and futures markets.
- Market conditions are cooling, with buy orders dominating.
- Coinglass data shows the funding rate flipped positive on Wednesday, at 0.0088% on Thursday.
- A positive funding rate means longs pay shorts, indicating bullish sentiment.
- The long-to-short ratio is 1.01, near the monthly high, showing more traders expect a price rise.
Aave Price Forecast: Eyes Bullish Breakout
Aave price moves in a descending channel formed by trendlines. It is near the upper boundary, signaling a possible breakout.
If price breaks above the trendline, the next target is $296.14. The daily Relative Strength Index (RSI) is 57, above neutral 50, showing more buying momentum. The MACD has a bullish crossover, confirming the uptrend.
If AAVE fails to break out, it may fall to the support level at $201.08.
