Aave price analysis shows a bearish trend for today. The bears have taken over the price charts once again and have brought down the price from $55.39 to the $54.39 level; as the broader market is bearish, so is AAVE. Selling pressure came in during the last hours of the previous trading session, which turned the entire trend bearish yesterday and is on the go till now. Though the price has been in the upper price channel as recently, AAVE observed a new record high, but the coin is under a strong correction, and the loss is significant, further degradation of price is also expected in the hours.
AAVE/USD 1-day price chart: Bulls stand helpless as bears dominate
The 1-day price chart for Aave price analysis shows the price levels have sunk tremendously today as the price breakout was downwards today, and the price continues to go down. The AAVE/USD pair is trading hands at 54.39 at the time of writing, losing another 1.69 percent today. As the coin is one downfall, the crypto pair is also showing a loss of 1.55 percent over the past week, as for the last seven days, bears ruled the market, and a bullish lead was observed for only one day. The trading volume has increased for AAVE is present at $28.3 billion, and the bearish momentum is still prevailing over the market, while the market capitalization of AAVE stands at $766.6 million.
The volatility is increasing for AAVE/USD as the Bollinger bands are diverging again, with the upper end of the indicator at the $65.93 mark, while the lower end of the Bollinger bands is present at the $51.73 mark which is an important point to observe in the coming hours.
The relative strength index (RSI) is moving downwards at a sharp curve and has reached an index of 40.63 in the lower half of the neutral zone. The RSI level is still acceptable, but it may sink further in the coming hours if the heavy sell-off continues.
Aave price analysis 4-hour price chart: AAVE is facing rejection at $55.39
The 4-hour price chart for Aave price analysis shows a continuous degradation of price, and no considerable bullish effort has been observed today, despite the fact that bulls intervened in between and tried to elevate the price levels for a few hours, but they were soon outplayed by bears. The price is going down again and has been seen decreasing in the last four hours as well.
The relative strength index (RSI) has entered the undersold zone recently, and its curve is downwards as of now as it is showing a score of 44.18. The RSI curve indicates the high selling activity in the market and the great bearish pressure that has engulfed the price action.
The moving average (MA) continues to trade below the SMA 50 at $55.21, and the price is trading below the lower limit of the Bollinger Bands on the 4-hour chart, which is at $56.61. The overall volatility indicator is continuing its downward slope, hinting at the price traveling low for the coming hours.
Aave price analysis conclusion
The Aave price analysis suggests that most of the technical indications are giving bearish signals but looking at the chart patterns and sinking of RSI, it is safe to assume that the price will decrease further in the coming hours, as well as in the coming days, and AAVE may step into $54.29 range by the next trading session.
Source: https://www.cryptopolitan.com/aave-price-analysis-2022-12-24/