AAVE Drops 8% Amid Crypto Weakness Despite RWA DeFi Momentum
Aave AAVE$211.88, the governance token of the decentralized lender, posted sharp declines through Thursday, dropping 8% to $208. Since Monday's $248 high, the token shed over 16%.
The DeFi bluechip token carved out consecutive lower highs and lower lows, establishing clear bearish momentum while peers advanced, CoinDesk Research's market insight tool showed. Trading activity surged 40% above seven-day averages, signaling active repricing rather than quiet drift.
AAVE underperformed the CoinDesk 5 Index (CD5), which fell nearly 4%, underscoring the broad-based weakness.
The correction happened despite Aave posting strong growth on its institutional real-world asset lending arm Horizon. The marketplace grew above $450 million since its launch roughly two months ago, data shows.
What Traders Should Watch
Key technical levels signal a potential breakdown risk for AAVE, CoinDesk Research's market insight tool suggested.
- Support/Resistance: Critical $211.00 support failed, while the $235 level capped earlier advances forming resistance.
- Volume Analysis: Three volume spikes at $228, $219, and $213 confirmed selling waves.
- Chart Patterns: Lower highs and lower lows established bearish trend across a $26.88 range representing 11.4% overall price decline
- Targets & Risk: Failed recovery at $212.70 sets up deeper pullback.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Stablecoins Enter the $300 Billion Era: Three Main Themes Reveal the Next Growth Cycle

Trump is going to open his own casino
How the Trump family is reshaping prediction markets and the boundaries of information.

From DeFi Infrastructure to Mainstream Crypto Consumption: In-depth Analysis of the First 11 Innovative Projects in MegaMafia 2.0
The MegaMafia 2.0 Accelerator Program focuses on incubating innovative crypto consumer products aimed at mainstream users.

A New $300 Billion Blue Ocean: Three Main Lines of the Stablecoin Ecosystem
Investing in the new stablecoin sector requires finding a balance among technological innovation, regulatory compliance, and market demand.

Trending news
MoreCrypto prices
More









