AAVE Price Leads the Top Gainers as the Defi Space Slowly Gains More Traction

With the regulatory clarity, the Defi space is slowly gaining more traction as the AAVE price leads the top gainers

The DeFi space is slowly gaining more traction with the regulatory clarity and the AAVE price leads the top gainers with more than 20% gains in the last 24 hours. The recent surge seemed to have been backed by a spike in trading volume, open interest and persistent social FOMO.

After a period of consolidation, the crypto markets are now showing signs of recovery. As the market gains momentum, AAVE price, which was in the middle of a strong recovery, has intensified its price action. The token remained consolidated within a narrow range for a long time, which helped the bulls to accumulate strength.

As a result, the AAVE price attracted more than 20% gains while the buying volume increased by over 50%. With this, the price is slowly approaching the crucial threshold, which may not only form a new ATH but could also mark a 4-digit figure.

Aave has been showing strong momentum driven by whale inflows and institutional interest. The price is nearing the monthly highs as bullish sentiment takes over the markets along with the backing received for AAVE as the core of DeFi’s infrastructure. With this, AAVE records a new Total Value Locked (TVL) of over $24 billion, which is also the new all-time high for the platform.

The DeFi lending protocol seems to be on fire, which flashes massive bullish signals for the future of decentralized finance. The AAVE price, which has been trading pretty strongly since the bounce from the lows close to $100, seems to be looking forward to a proper HTF bullish breakout from the structure. With this, the token displays the possibility of ranging beyond the final resistance below the ATH.

The historical chart of AAVE suggests the price broke down from the rising wedge after accomplishing the parabolic recovery curve. Despite the drop in volume, the price rebounded from the local lows and surged by over 130%. With this, the technicals like MACD & RSI have turned bullish in the form of a bullish crossover and a u-shaped recovery. Hence, if the AAVE manages to rise and secure the resistance at $280, a monthly close above $300 could be imminent.

In a wider perspective, the AAVE price is undergoing a V-shaped, steep recovery, and hence it is expected to reach the neckline between $422 and $443. A breakout above the range is believed to initiate a fresh upswing, which could push the price into a discovery phase and mark a new ATH, probably close to $1000.