AAVE Value Evaluation : AAVE close to demand zone at $58, Is sharp bounce again attainable ?



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www.thecoinrepublic.com

13 h

  

Studying time: ~3 m


  • Bullish hammer candle formation close to Level of Management and worth space low (Quantity profile)
  • AAVE value is down 1.01% on a intraday foundation, whereas the final 24 hours quantity traded at 37.56 million

AAVE costs had been sliding down from previous couple of days creating decrease lows candle formation, not too long ago bears bought rejection from $58 ranges forming bullish hammer candle signifies the preliminary section of quick time period pattern reversal. The quantity profile’s worth space low additionally stood at $58 which signifies most ranges of patrons and sellers within the specific value ranges.

Decoding Quantity profile

Supply : AAVE/USDT day by day chart by Tradingview

On the next timeframe, AAVE costs had been very unstable prior to now couple of months, Though it has maintained to commerce within the vary between $45 to $115. From June to August, costs had gained some constructive momentum and made a excessive at $116 however sadly bulls had been unable to maintain the upper ranges, and slipped beneath $100

Just lately, In November, bulls once more tried to commerce above $100 however FTX collapse had triggered destructive sentiment in the entire crypto trade which additionally impacted AAVE and dragged the costs additional down in direction of $50.

The 200 day ema (inexperienced) sloping downwards signifies costs might stay in downtrend for coming weeks. The 50 day ema(pink) at $66 sloping downwards will act as a direct hurdle for bulls adopted by subsequent resistance at $97. As per quantity profile evaluation Worth space low(VAL) is positioned at $56 which can act as demand zone and the Level of management (POC) is close to to the identical stage $59 which creates a confluence space of patrons.

Small timeframe narrative

Supply : AAVE/USDT 4 hour chart by Tradingview

In a decrease timeframe, AAVE costs are dominated by bears and have been buying and selling within the tight vary between $55 to $65. The supertrend indicators had generated a promote sign nevertheless it appears dangerous to construct quick positions at assist ranges. As of now costs are buying and selling close to assist ranges at $58, so we may even see a powerful reduction rally in coming days.

Relative Power Index

Supply : AAVE/USDT day by day chart by Tradingview

Within the mid november RSI had approached oversold ranges at 30 and comely bounced again going through resistance at 50. Presently RSI at 40 pointing sideways signifies value may even see upside reversal in coming weeks.

Abstract

After analyzing the Quantity profile and different indicators AAVE costs are approaching the demand zones and anticipated to reverse upside within the coming few periods. Aggressive merchants might search for shopping for alternatives for the goal of $70 and above by maintaining $55 SL and conservative traders ought to accumulate AAVE at present ranges for the goal of $80 and above maintaining $45 stoploss.

Technical ranges

Resistance ranges : $70 and $100

Assist ranges : $50 – $45

Disclaimer

The views and opinions said by the creator, or any folks named on this article, are for informational concepts solely, and they don’t set up monetary, funding, or different recommendation. Investing in or buying and selling crypto belongings comes with a threat of monetary loss.




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