Advertise

AAVE Aims for $400 Amid Whale Buying Activity

 
Sahil Mahadik
Written By 
Sahil Mahadik
January 31, 2025
AAVE Price Targets $400 as Whale Activity Surges

On January 31st, Friday, the crypto market witnessed a hindered recovery as Bitcoin price struggled to surpass All-time high resistance at $108,000. While the overhead supply restrained major altcoins from key breakouts, the AAVE price shows potential for a sustained rally amid growing whale interest.

According to Coingecko data, the AAVE coin holds a market cap of $5.06 Billion, while the 24-hour trading volume is at $830 million.

Key Highlights:

  • A cup and handle pattern drives the current recovery trendline AAVE price
  • The ongoing rally could witness overhead supply at $343 365, followed by $400.
  • On-chain data highlights a surge in whale activity, reinforcing AAVE’$ potential for long-term growth.

AAVE Dominates DeFi as Whale Activity Rises

The decentralized finance (DeFi) sector is witnessing growing institutional interest, with AAVE emerging as a dominant force among lending protocols. According to onchain analysts intotheblock, the AAVE network is experiencing a surge in whale activity and bolstering its market share and position among top digital assets.

Historically, the large transaction activity has coincided with major market movements, indicating AAVE’s potential to prolong its uptrend.

AAVE Dominates DeFi as Whale

However, the anticipated recovery in AAVE price could face major resistance at $343 and $365 horizontal levels, as they are baked by a supply of 1.3 Million and 971.68k AAVE tokens.

In /Out of the money around price
In /Out of the money around price.

AAVE Price Impending Breakout From Cup and Handle Pattern

In a three-day rally, the AAVE price went from $282 to $334, accounting for a growth of 18.7%. With sustained buying, the altcoin could rise another 18% to challenge the multi-year resistance at $396.

The weekly chart analysis shows that this aforementioned resistance is the past of a traditional reversal pattern called cup and handle. The chart setup consists of a long U-shaped recovery indicating the accumulation trend, followed by a temporary pullback to regain exhausted bullish momentum.

AAVE Price
AAVE/USDT -1d Chart

A potential breakout with a weekly closing above $396 will intensify the buying pressure and set an AAVE target of $752.

See more
Sahil Mahadik
Written by Sahil Mahadik

As a full-time trader with over three years of hands-on experience in the financial markets, I have honed an exceptional proficiency in technical analysis, which is the cornerstone of my daily monitoring of price fluctuations in leading assets and indices. My journey into trading began with a deep fascination for financial instruments, and this curiosity naturally expanded into the ever-evolving world of cryptocurrencies. I am currently contributing to CryptoNewsZ and have also written for Coingape, The Coin Republic and TheMarketPeriodical. I am driven by my passion for the markets and want to explore new opportunities, I analyze emerging trends and strategies to get maximum returns in traditional and crypto markets.