Whales Fuel AAVE Surge: Exchange Supply Dives, Price Holds Steady

AAVE Token Shows Strong Performance in DeFi Market

The price of AAVE has been holding steady above its 50-day moving average, reflecting its growing importance in decentralized finance. As of July 6, AAVE was trading at $272, marking a 140% increase from its April low. This surge has boosted its market cap to $4.1 billion and daily trading volume to over $250 million.

Whales have been accumulating AAVE, increasing their holdings by 3.4% over the past month, according to nansen data. This suggests they anticipate further price gains. Additionally, the supply of AAVE on exchanges has dropped to 2.9 million, the lowest since February 2021, as per Santiment. This decline indicates investors are moving tokens to self-custody, expecting long-term price stability.

Aave’s dominance in DeFi is a key bullish factor. DeFi Llama reports a 7.8% rise in total value locked to over $26 billion. aave has generated $233 million in cumulative revenue, with $3.3 million in the last 24 hours.

On-chain data shows whales have increased their holdings by 3.4% in the last 30 days. The token’s supply on exchanges has fallen to 2.9 million, down from 4.53 million in November 2023. This trend signals confidence in its future value.

technical analysis reveals a bullish outlook. The price bottomed at $114.65 in April and reached $323 in May. An inverse head-and-shoulders pattern on the daily chart points to a potential breakout,with a target of $323,and possibly $400,the highest level in 2024. The coin’s price has formed a bullish reversal pattern, indicating strong market sentiment. Aave, founded by Stani Kulechov, has seen a 7.8% rise in total value locked over the past 30 days. The token, originally ETHLend, rebranded in 2020, remains above key moving averages, hinting at continued growth. Kulechov’s contributions to DeFi, including the Lens Protocol, further supports its robustness.