AAVE Price Analysis: Will the AAVE Price Make a Recovery?

• The AAVE price is currently trading at $72.0 near the demand zone.
• The AAVE price has been observing an increase of 1.07% in the last 24 hours.

The price of AAVE is currently trading sideways range. Investors’ sentiments regarding AAVE price are trading in the fear zone. Though that may change as the price at present is trading near an important support zone. If the price gains buyers support from the current zone it can rally up 14% within the next week. Though it is facing severe resistance from the 200 Moving Average which will prove to be a difficult resistance level the major trend for it is bearish as the price is trading below 200 EMA on the daily timeframe.

The majority of technical indicators are favoring the bears. The price is facing critical resistance from the Exponential Moving average and Moving average. It has a previous resistance zone near $80.0 below the consolidation. The RSI line is taking resistance from 14 SMA. Though the Stochestic RSI is bullish, the %K and %D lines are taking a bullish reversal.

AAVE Price trading near the previous support zone  (Daily Timeframe)

Previously from the end of January , Aave’s price started consolidating within a channel in the supply zone for nearly 8 weeks. The price made multiple attempts to break out however the buyers were not able to support the price. The trend was overtaken by sellers when after facing rejection from the $95.0 the price took a significant downfall of 31% 

Technical Analysis ( 1 Day Timeframe )

The RSI line is currently taking resistance from the 14 SMA below the median line. The current RSI value is 44.54 and the value of 14 SMA is 37.30 points. The RSI line is suggesting that it can make a bearish move with the price. The probability of a bearish correction is strengthened by the multiple resistance levels it is facing.

The stochastic RSI is taking a reversal from the oversold levels. The %K line has already given a bullish intersection to the %D line after gaining support from 0.00 points. Presently the value of Stochestic RSI has crossed above 30 points on the 1-Day chart.

Conclusion

According to analysis, The price is indicating a bullish reversal in the upcoming days. The recent resistance point is around $70.00 whereas the major resistance for AAVE is at $80.00. The support zone is $65.00 for AAVE at present. 

The oscillators are moving in contrast with each other. Both EMA and SMA are providing severe resistance to the price.

Technical levels –

Support – $65.00

Resistance – $80.00and $70.00

Disclaimer

The views and opinions stated by the author, or any people named in this article, are for informational purposes only, and they do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.

Nancy J. Allen is a crypto enthusiast and believes that cryptocurrencies inspire people to be their own banks and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning.

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