The price of AAVE remains in a tight range, continuing its struggle with key levels of support and resistance. While there have been attempts to push higher, AAVE’s market momentum has yet to break decisively above these critical zones.
However, traders are monitoring whether the cryptocurrency will maintain support or face a potential downturn. Crypto expert Sjuul from AltCryptoGems has emphasized the ongoing struggle on X, with the trader still waiting for a clearer market signal.
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AAVE Chart Analysis
The price of AAVE is stuck in a sideways pattern right now, moving back and forth between support and resistance. The market seems unsure of which direction to take next – whether to break out or keep trading in this range.
Looking at the chart, we can see AAVE’s price keeps testing its support level, an area where it has bounced up from before. The price is attempting to break above resistance but has yet to gain enough momentum to hold above it.
The chart also displays a cup and handle pattern, with AAVE’s price forming a rounded bottom and in the process of forming the handle. A breakout above the handle could signal further upward movement, depending on whether the support level holds.
AAVE Support and Resistance Zones in Focus
This support zone has been getting a lot of attention from traders lately. The price has managed to bounce back from here before, which might happen again if enough buyers step in. But the market doesn’t seem convinced either way yet. Most traders are taking a wait-and-see approach, watching to see if the support holds or finally breaks down.
The price is also bumping up against resistance at the top of its range. So far, this level has stopped AAVE’s price from moving higher each time it’s tried. If the price can finally push through this resistance, we might see a change in momentum and the start of a new trend.
Read Also: 6 Reasons Why Ripple (XRP) Price Rally is Not Over
AAVE Market Sentiment and Trader Expectations
Sjuul points out that traders are being cautious with AAVE right now. With the price bouncing between support and resistance, most people are staying on the sidelines until they see a clearer signal.
AAVE’s chart backs this up – it shows a market that’s having trouble deciding which way to go. Most traders are probably waiting for a strong move in either direction before making any big decisions, whether that’s buying if it breaks higher or preparing for a drop if support gives way.
Furthermore, there’s a cup and handle pattern forming, which could lead to a breakout. But with the price hanging around support, things could still go either way. What happens next with AAVE’s price depends on whether it can break through that resistance level or if the support zone continues to hold.
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