AAVE Slides 10% and Volume Explodes 241%: Breakdown Ahead or Relief Rally Incoming?

TheNewsCryptoPublished on 2025-12-22Last updated on 2025-12-22

Abstract

Crypto markets saw a 1.9% increase, with Bitcoin and Ethereum rising to around $90K and $3K, respectively. However, AAVE experienced a significant drop of over 10%, trading near $158.68 after falling from a high of $176.99 to a low of $157.18. Despite the price decline, its trading volume surged by 241% to $659.47 million. Technical indicators suggest a strong downtrend for AAVE. The MACD and signal lines are below zero, indicating bearish momentum. The Chaikin Money Flow shows selling pressure, and the Bull Bear Power confirms bear dominance. The RSI at 23.29 signals oversold conditions, which could hint at a potential reversal or further decline. If bearish pressure continues, AAVE may fall to support at $155.47 or even lower to $152.39. A reversal could see it test resistance at $161.75, with strong bullish momentum, potentially reaching $164.88.

A 1.9% spike within the crypto market has initiated both red and green waves across the tokens. The largest assets, like Bitcoin (BTC) and Ethereum (ETH), have moved up and, as of now, they are hovering at $90K and $3K, respectively. Turning attention toward the altcoins, the AAVE price has lost by over 10.26%.

In the morning hours, the asset has traded at a high range of $176.99. With the bearish encounter in the AAVE market, the price has retraced toward a bottom of $157.18. If the bears continue to stay stronger, the price movement may steeply fall to the previous lows.

At the time of writing, AAVE trades at around $158.68, with the market cap staying at $2.38 billion. Additionally, the daily trading volume has exploded by over 241%, reaching the $659.47 million zone. Concurrently, a $1.85 million liquidation of AAVE was observed in the market during the last 24 hours.

How Low Can AAVE Momentum Go?

Both the Moving Average Convergence Divergence (MACD) line and the signal line of AAVE are settled below the zero line, which indicates its strong bearish trend. The short-term trend is lagging behind the long-term direction. Significantly, the Chaikin Money Flow (CMF) indicator positioned at -0.17 likely suggests the presence of selling pressure in the market. The money is flowing out of the asset.

The Bull Bear Power (BBP) reading of AAVE at around -22.79 shows a strong bearish dominance. This negative value hints that the sellers are controlling the market. Moreover, the daily Relative Strength Index (RSI) at 23.29 signals that the asset is in the oversold condition. This is a potential buying opportunity or a trend reversal, though it can stay oversold during strong downtrends.

The AAVE/USDT trading pair reports the bearish trajectory, and the price could fall to the support at the $155.47 range. If the downtrend is sustained, the bears may invite the death cross to take place, and drive the price below $152.39. Assuming the asset shifts gear to an uptrend, the AAVE price might go up to the resistance level of $161.75. Further bullish pressure could trigger the emergence of a golden cross, taking the asset to its former highs at around $164.88.

Top Updated Crypto News

Momentum Test: Can DOGE Dodge a Near-Term Correction?

You Bet on the News, the Pros Read the Rules: The True Cognitive Gap in Losing Money on Polymarket

The article explains that the key to profiting on Polymarket, a prediction market platform, lies not just predicting real-world events correctly, but in meticulously understanding the specific rules that govern how each market will be resolved. It illustrates this with examples, such as a market on Venezuela's 2026 leader, where the official rules defining "officially holds" the office overruled the intuitive answer of who was in practical control. Other examples include debates over the definition of a "token" or what constitutes an "agreement." The core argument is that a "reality vs. rules" gap creates pricing discrepancies that savvy traders ("车头" or "whales") exploit. The platform has a formal dispute resolution process managed by UMA token holders to settle ambiguous outcomes. This process involves proposal submission, a challenge window, a discussion period, and a final vote. However, the article highlights a critical flaw in this system compared to a traditional court: the lack of separation between the arbiters (UMA voters) and the interested parties (traders with financial stakes in the outcome). This conflict of interest undermines the discussion phase, leads to herd mentality, and results in opaque final decisions without explanatory rulings. Consequently, the system lacks a body of precedent, making it difficult for users to learn from past disputes. The ultimate takeaway is that success on Polymarket requires a lawyer-like scrutiny of the rules to identify and capitalize on the cognitive gap between how events appear and how they are contractually defined for settlement.

marsbit4m ago

You Bet on the News, the Pros Read the Rules: The True Cognitive Gap in Losing Money on Polymarket

marsbit4m ago

Will Solana Flip Ethereum Soon? SOL Takes First Step Toward Total Domination

Solana has significantly closed the gap with Ethereum, particularly in transaction volume, processing 9 billion transactions last month compared to Ethereum's 69 million. It has also surpassed Ethereum in cumulative lifetime transactions. This highlights Solana's high-throughput, low-cost architecture designed for real-time usage. Major partnerships, such as with Visa for stablecoin settlements and Western Union's upcoming stablecoin launch, underscore its growing institutional adoption. Solana has even overtaken Ethereum in real-world asset (RWA) holders. However, a complete "flippening" depends on broader factors like capital inflows, developer activity, and network confidence. While Solana's smaller market cap suggests greater growth potential, Ethereum's Layer-2 scaling strategy strengthens its ecosystem. The outcome remains uncertain, with trade-offs on both sides.

bitcoinist11m ago

Will Solana Flip Ethereum Soon? SOL Takes First Step Toward Total Domination

bitcoinist11m ago

Spending $200 to Buy Stars, Scamming VCs Out of Tens of Millions: The Entire GitHub Fake Star Industry Exposed

A peer-reviewed study from Carnegie Mellon University (CMU) reveals that GitHub hosts approximately 6 million fake Stars, involving 18,600 repositories and 301,000 accounts, with AI/LLM projects being the largest non-malicious category for fake engagement. The fake Star market has exploded, with prices as low as $0.03 per Star. Research shows that venture capital firms, such as Redpoint Ventures, use GitHub Star counts as a key metric for evaluating startups, with median Stars at 2,850 for seed-stage funding. For less than $200, a project can artificially meet this threshold, distorting investment landscape. Over a dozen websites openly sell GitHub Stars, and fake Star activity saw explosive growth in 2024. AI-related repositories were among the most heavily affected. Despite GitHub’s policies against fake engagement, enforcement remains inconsistent: while 90% of flagged repositories were deleted, only 57% of involved accounts were suspended. The report highlights how purchased Stars can manipulate GitHub’s Trending algorithm and influence VC funding decisions, creating a cycle where artificial metrics attract real investment.

marsbit13m ago

Spending $200 to Buy Stars, Scamming VCs Out of Tens of Millions: The Entire GitHub Fake Star Industry Exposed

marsbit13m ago

Will the Fed Still Cut Interest Rates? Tonight's Data Is Crucial

The core debate surrounding the Federal Reserve's potential interest rate cuts is intensifying amid geopolitical conflict and rebounding inflation. The key question is whether high energy prices will cause persistent inflation or weaken consumer demand enough to force the Fed to cut rates. Citigroup presents a bullish case for cuts, arguing that oil supply disruptions from the Strait of Hormuz are temporary and will not lead to lasting inflationary pressure. They point to receding bond yields and oil prices as evidence the market is pricing in a short-lived shock. Citi's data also shows tightening financial conditions, a stabilizing labor market, and healthy tax returns, supporting their view that the path to lower rates remains open. Conversely, Deutsche Bank offers a starkly contrasting, more hawkish outlook. They argue the Fed's current policy is already neutral and expect rates to remain unchanged indefinitely. Their view is based on stalled disinflation progress and a shift toward more hawkish rhetoric from key Fed officials like Waller, who cited risks from prolonged Middle East conflict and tariffs. Other officials, including Williams and Hammack, signaled rates would likely stay on hold for a "considerable time." The market pricing has shifted dramatically, now forecasting zero cuts in 2026. The imminent release of the March retail sales "control group" data is highlighted as a critical test. This metric, which excludes gas station sales, will reveal if high gasoline prices are eroding consumer spending in other areas. A weak reading could support the case for imminent rate cuts, while a strong one would bolster the argument for the Fed to hold steady. This data is pivotal for determining the near-term policy path.

marsbit25m ago

Will the Fed Still Cut Interest Rates? Tonight's Data Is Crucial

marsbit25m ago

The Second Half of Macro Influencer Fu Peng's Career

Fu Peng, a prominent Chinese macroeconomist and former chief economist of Northeast Securities, has joined Hong Kong-based digital asset management firm Bitfire Group (formerly New Huo Group) as its chief economist. This move, announced in April 2026, triggered an 11% surge in Bitfire's stock price. Fu, known for his accessible macroeconomic commentary and large social media following, will focus on integrating digital assets into global asset allocation frameworks, particularly combining FICC (fixed income, currencies, and commodities) with cryptocurrencies for institutional clients. His career includes roles at Lehman Brothers and Solomon International, with significant influence gained through public communication. However, in late 2024, Fu faced temporary social media bans after a controversial private speech at HSBC on China's economic challenges, though he denied regulatory sanctions. He later left Northeast Securities citing health reasons. Bitfire, a licensed virtual asset manager serving high-net-worth clients, seeks to build trust and attract traditional capital through Fu’s expertise and credibility. The partnership represents a strategic shift for both: Fu enters the crypto sector after a traditional finance peak, while Bitfire aims to leverage his macro framework for institutional adoption. Outcomes remain uncertain regarding capital inflows and compatibility within corporate structure.

marsbit1h ago

The Second Half of Macro Influencer Fu Peng's Career

marsbit1h ago

Trading

Spot

Futures

Hot Articles

How to Buy AAVE

Welcome to HTX.com! We've made purchasing Aave Protocol (AAVE) simple and convenient. Follow our step-by-step guide to embark on your crypto journey.Step 1: Create Your HTX AccountUse your email or phone number to sign up for a free account on HTX. Experience a hassle-free registration journey and unlock all features.Get My AccountStep 2: Go to Buy Crypto and Choose Your Payment MethodCredit/Debit Card: Use your Visa or Mastercard to buy Aave Protocol (AAVE) instantly.Balance: Use funds from your HTX account balance to trade seamlessly.Third Parties: We've added popular payment methods such as Google Pay and Apple Pay to enhance convenience.P2P: Trade directly with other users on HTX.Over-the-Counter (OTC): We offer tailor-made services and competitive exchange rates for traders.Step 3: Store Your Aave Protocol (AAVE)After purchasing your Aave Protocol (AAVE), store it in your HTX account. Alternatively, you can send it elsewhere via blockchain transfer or use it to trade other cryptocurrencies.Step 4: Trade Aave Protocol (AAVE)Easily trade Aave Protocol (AAVE) on HTX's spot market. Simply access your account, select your trading pair, execute your trades, and monitor in real-time. We offer a user-friendly experience for both beginners and seasoned traders.

4.7k Total ViewsPublished 2024.03.29Updated 2025.05.06

Discussions

Welcome to the HTX Community. Here, you can stay informed about the latest platform developments and gain access to professional market insights. Users' opinions on the price of AAVE (AAVE) are presented below.