Bearish momentum pulls price back to $74.21

Recent Aave price analysis has been bearish as the cryptocurrency has fallen back below $75. This move comes after a brief period of consolidation above this level. The digital asset is currently trading at $74.21 and is down by 4.09 percent in the last 24 hours. Support for AAVE/USD is present at $72.88 while resistance lies at $77.46. The 24-hour trading volume for the coin is $93,924,094 and the market capitalization is at $1,042,844,677.

The digital asset has been on a downtrend since the beginning of today as it failed to break out above the $77.46 level. The digital asset has been consolidating around this level over the past few days but today, it has broken below this level. This move has invalidated the previous bullish setup and has put the digital asset on a bearish path in the short term.

AAVE/USD 1-day price chart: Aave continues downside after facing rejection at $77.46

The one-day Aave price analysis confirms a strong bearish trend for cryptocurrency, as the AAVE/USD value is going through a sharp decline. A considerable amount of downfall in cryptocurrency value is being detected due to rising selling pressure in the market. If the selling pressure persists, it can be predicted that the price will lower further today. The cryptocurrency is trading hands at $74.21, which is a relatively lower level if we compare it to its moving average (MA) value of $74.69.

The volatility is expanding because of the continuous extension of the downward trend. The upper end of Bollinger Bands Indicator is now at the $77.46 mark indicating the resistance for Aave, whereas its lower band is present at the $72.88 mark, which was previously representing the support that has now fallen as the price crashed below the lower band. The Relative Strength Index (RSI) score has decreased to index 40 and will decrease further during the day as the selling activity is on the rise and the indicator’s curve is steeply downwards.

Aave price analysis 4-hour price chart: Market moves downward

The four-hour Aave price analysis dictates a downtrend as the bears have been maintaining their lead quite furiously. The bulls seem to be helpless in the current situation as the price levels are falling at a sharp angle. The downtrend has resulted in price devaluation up to the $74.21 mark, encouraging the sellers. If we discuss the moving average indicator, then its value is currently $77.95, which is precisely where the market found resistance and started to decline.

The Bollinger bands average has moved down to $74.21 because of the constant decreasing trend. The upper band of Bollinger Bands Indicator is now touching the $77.95 mark, and the lower band is touching the $73.16 mark, where the price has gone below the lower band on the 4-hour chart as well. The RSI curve is moving descendingly as the score is now 18, which is quite low as the indicator shows underbought conditions for Aave.

Aave price analysis conclusion

The Aave price analysis concludes that the cryptocurrency shows bearish momentum with room for further bearish opportunities. The price dropped to as low as $74.21 and is facing strong resistance at around the $77.46 level if it fails to break out above this level, it is likely to continue falling in the short term, while the support lies at $72.88, a break below this level could send the price tumbling towards the $70 mark in the near term.

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