Despite the massive downturn in the cryptocurrency market, Aave’s (AAVE) trading volume has skyrocketed by 131% in the last 24 hours as crypto whales go on a buying spree. On September 4, 2024, when Bitcoin (BTC) breached its crucial support level of $57,000, the overall cryptocurrencies experienced a notable price decline.
Whale’s Big Bet on AAVE
Amid this market downturn, crypto whales saw an opportunity in AAVE and heavily accumulated it. Recently, an on-chain analytic firm Lookonchain made a post on X (previously Twitter) that a whale bought a significant 50,504 AAVE tokens worth $6.78 million from Binance, the world’s biggest cryptocurrency exchange.
With this massive accumulation, the whale now holds 125,605 AAVE tokens worth $16.90 million, which he bought with an average price of $134.6. The whale’s interest in AAVE seems strong, as they have consistently bought AAVE tokens during market downturns.
AAVE Technical Analysis and Upcoming levels
According to expert technical analysis, AAVE is in an uptrend as it trades above the 200 Exponential Moving Average (EMA) on a daily time frame. Additionally, its Relative Strength Index (RSI) is neutral, meaning AAVE is neither in overbought territory nor in oversold territory.
On the other hand, AAVE looks bearish on a four-hour time frame, and there is a high possibility it could fall back to the $118 level. The potential reason behind this speculation is historical price momentum, whenever AAVE’s price reaches between $130 to $135, it always tends to experience, leading to a significant price decline.
Rising Price and Open Interest
As of now, AAVE is trading near $130 and has experienced a price surge of 3.7% in the last 24 hours, despite the majority of top cryptocurrencies being in the red. Meanwhile, its trading volume has skyrocketed by 131%, indicating higher participation from investors.
However, AAVE’s open interest has also jumped by 7.3% in the last 24 hours, according to the on-chain analytic firm CoinGlass, indicating growing interest from traders amid the recent price decline.
