AAVE (AAVE) token continued its strong rally, reaching its highest point since Feb. 1

AAVE (AAVE) soared to $312 as network growth accelerated. Data shows that the total value locked on the network jumped to a high of $27.5 billion, up from the April low of $16 billion.

AAVE, the native token of the decentralized finance (DeFi) lending and borrowing protocol Aave, continued its strong rally on Wednesday.

The token hit its highest point since Feb. 1 and rose 180% from its lowest level on April 7. AAVE also formed a golden cross pattern, as the 50-day and 200-day Exponential Moving Averages continue to slope upward. Similarly, the Relative Strength Index and the Average Directional Index have both continued to rise.

"The AAVE token price bottomed at $114.80, the lowest level on April 7. It recently broke above the resistance level at $282.10, the highest swing on May 27," Ben Armstrong, a crypto analyst, noted. "The token will likely continue climbing as bulls target last year's high of $398.85."

A drop below the support at $282 would invalidate the bullish outlook.

AAVE price has jumped as the amount of staked tokens climbed to the highest level since February. There are now $912 million worth of staked AAVE coins, up from this month's low of $350 million.

The rally also coincided with a surge in futures open interest, which soared to a record high of $745 million, up from the year-to-date low of $180 million. Soaring open interest signals growing demand from investors.

Meanwhile, AAVE's supply on exchanges has dropped from 3.8 million in December last year to 3.06 million today. The total supply in profit has jumped to 1.25 million, its highest level since January.

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