Aave jumps by a weekly 10%. Is it attractive now?

Aave jumps by a weekly 10%. Is it attractive now?

Aave (AAVE/USD) is currently trading for $81.59. The price represents a 10.32% increase in the past week and a 0.64% daily loss. Despite recent volatility in the crypto market, AAVE price is on an upward trajectory.

Although the sentiment could hold, the total value locked in the DeFi blockchain is on a decline. AAVE’s TVL has dipped 7% in the past week to $4.82 billion. The protocol is currently ranked fourth on DefiLlama in the TVL list, deployed across seven networks.

Besides, the whale investor activities seem not to favour AAVE. The latest data from whale alert shows that Tron’s founder, Justin Sun, transferred $50 million of USDT from Aave protocol to an anonymous wallet. Aave’s transactions in the past day have also declined. It is down 12% to $128 million in the period.

Some other fundamentals in the Aave ecosystem relate to the GHO stablecoin. The network recently released a whitepaper for digital assets. AAVE described GHO as a ‘flexible, decentralised, configurable token designed to maintain a stable value.’ From the technical outlook, AAVE struggles to clear a key resistance level.

AAVE faces resistance at $81 
Source: TradingView

According to the daily price outlook above, AAVE moved from $70 on October 14 to the current price of $82. The price is a significant level that has been tested severally. Despite the MACD looking bullish with green histograms, AAVE has entered the overbought zone. Thus, it may be due for a retracement.

Concluding thoughts
Despite AAVE currently looking bullish, it is facing a hurdle at $81. However, it could not be the most appropriate price entry. First, the DeFi crypto is overbought and needs enough buyers to break above the level.

Although the MACD level looks green, AAVE is not out of the woods yet. The price must clear the current resistance to welcome a bullish sentiment. Otherwise, it could retest the immediate support level of $69.

Where to buy AAVE 

OKX

OKX is a top cryptocurrency exchange which offers over 140 cryptocurrencies to invest in.

OKX takes customer security very seriously, they store almost all of their clients’ funds in cold storage, and the exchange is yet to be hacked.

On top of this, the exchange offers very low fees and customers can even use their crypto as collateral for loans on the platform.

Buy AAVE with OKX today

Binance

Binance is one of the largest cryptocurrency exchanges in the world. It is better suited to more experienced investors and it offers a large number of cryptocurrencies to choose from, at over 600.

Binance is also known for having low trading fees and a multiple of trading options that its users can benefit from, such as; peer-to-peer trading, margin trading and spot trading.

Buy AAVE with Binance today

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