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- AAVE token below all the crucial EMA’s 20, 50, 100, 200 in the daily time frame
- The AAVE/BTC pair was trading at 0.007812 BTC with a gain of 7.04%
- The 24hr trading volume in the AAVE token is 271.4 Million.
Source- AAVE/USD on Tradingview
The AAVE token bear attack finally halts at the $220 support level as the price shows a strong bullish engulfing candle pattern, suggesting a price reversal from this level. However, by the time of writing this article, the volume for this candle is still below average, and AAVE traders should wait for the price to show sustainability above this support for a better confirmation of long opportunity.
About the EMA’s, the AAVE token is currently trading below all crucial EMA’s 20, 50, 100 and 200, showing a bearish momentum in the token.
The RSI (BEARISH) current value is 45, which suggests a slightly bearish sentiment in the token. However, the RSI has given a breakout from the descending trendline, indicating the increasing strength on the bull’s side.
AAVE Token Resonating In A Falling Parallel Channel Pattern
Source- AAVE/USD on Tradingview
The AAVE token price is wobbling in a falling parallel channel pattern in the 4hr time frame. As for now, the price is currently present at the resistance trendline and shows a reasonable probability of giving a bullish breakout from this pattern, which will provide an excellent confirmation and a great long entry opportunity for AVVE traders.
The MACD indicator (BEARISH) shows a bearish momentum in the price as both the MACD and signal lines are moving below the neutral zone(0.00), indicating bearish momentum in the token. However, the lines have given a bullish crossover, projecting a buy signal.
Conclusion: From the technical perspective, the overall trend of the AAVE token is still bearish; however, the price action shows an attempt of price giving a bullish reversal with its bullish engulfing candle pattern. Therefore, if the price manages to sustain above $220, it will provide an excellent long opportunity for AAVE traders.
Support: $220
Resistance: $248