AAVE Price Analysis: DeFi Giant On The Verge Of A Major Breakthrough?

The crypto market continues to gain a bullish move for almost a week as the top cryptocurrencies are trading in the green. On the other hand, midcap altcoins such as AAVE price continue to struggle to hold their price as the coin continues to bleed.

The price has been constantly trading in a descending triangle since the start of the month, indicating a bearish influence in the market. AAVE price has failed multiple attempts to break out of the triangle towards the resistance trendline as the bulls have constantly failed to hold power.

Further, the price was seen trading close to its support zone of $61.03 and failed to break down the level as the market managed to hold the price, following which the price is presently re-testing its resistance trendline, of which the outcome is unpredictable. 

The MACD displays a rising green histogram, indicating the possibility of the price gaining momentum and surge in the coming time. Moreover, the averages show a possibility of a bullish convergence, suggesting the price will continue gaining value soon.

If the price breaks out of the resistance trendline soon, the coin will gain bullish momentum and continue to rise toward its resistance level of $65.34. Further, if the bulls manage to regain power, the price will continue to gain momentum and make a run toward its upper resistance of $67.21 this week.

If the AAVE bulls continue to dominate the market, the price will re-test its resistance level of $70 in the coming time.

On the contrary, if the bears overpower the bulls and a trend reversal occurs, the price will lose momentum, resulting in the price to trade back in the descending triangle. Moreover, if the market fails to gain momentum, the price will continue to dip and test its support level of $61.51.

Moreover, if the bulls fail to hold their support zone, the price will experience a strong bearish move and will plunge and test its support level at $60 soon.