Market

After creating the offset, AAVE regained the important horizontal area

Aave (AAVE) has been on the rise since Dec 20 and has confirmed that its short-term correction has been completed.

Between December 13th and 20th (red circle), AAVE fell below the $ 178 region intended to serve as support. However, it rebounded on December 20, recapturing the $ 178 zone. This is a very positive development as it shows that the previous breakout was just an anomaly.

Additionally, it continued to rise, breaking the declining resistance line on December 24th that had been in place since May 18th. This confirmed that the correction has been completed. The next area of resistance is at $ 420.

USDT Chart | Source: TradingView

Current breakthrough

Technical indicators on the daily timeframe support the continuation of the uptrend. This is visible in both the RSI and the MACD.

The RSI, a momentum indicator, has broken the 50 level while the MACD has entered positive territory (in blue). Both are viewed as bullish signs and are often preceded by upward moves.

The last time these two events (green circle) occurred in early August, followed by a 47% rally. Right now, a 52% rally is required for AAVE to hit the $ 422 resistance area.

USDT Chart | Source: TradingView

AAVE / BTC

The AAVE / BTC pair is also showing a bullish outlook as the token broke the descending resistance line. However, it is currently facing resistance at ₿0.0058.

This is an important area of resistance as it previously served as a support for 196 days. A breakout above it could accelerate the uptrend.

BTC chart | Source: TradingView

You can see the AAVE prices here.

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Disclaimer: This article is for informational purposes only, not investment advice. Investors should research carefully before making a decision. We are not responsible for your investment decisions.

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Annie

Championing positive change through finance, I've dedicated over eight years to sustainability and environmental journalism. My passion lies in uncovering companies that make a real difference in the world and guiding investors towards them. My expertise lies in navigating the world of sustainable investing, analyzing ESG (Environmental, Social, and Governance) criteria, and exploring the exciting field of impact investing. "Invest in a better future," I often say. That's the driving force behind my work at Coincu – to empower readers with knowledge and insights to make investment decisions that create a positive impact.