2022-05-24 10:43:14

AAVE Technical Analysis: Failed Uptrend Crushes Breakout Dream

AAVE prices form a double bottom breakout, but the psychological barrier of $100 and the descending resistance trendline knocks down the uptrend. Key technical points: AAVE price challenges the $100 sellers. The Stochastic RSI shows a bearish crossover in the overbought territory. The 24-hour trading volume of AAVE is $301 Million, indicating a rise of 56%. Past Performance of AAVE The AAVE/USD technical chart shows a challenging bullish trend after the reversal of the $75mark. However, the crucial resistance level of $100 keeps the reversal rally contained and hints at a potential setback to the $75 as the selling pressure grows. Moreover, the higher price rejection of the previous daily candle reflects the relatively more robust bearish side. Source-Tradingview AAVE Technical Analysis The surge in buying pressure inflates AAVE’s market value by 26% with a consolidation breakout but fails to overcome the formidable selling at $100. Hence, the failed breakout attempt illuminates a selling spot and increases the number of reversal traders going short. As the slow uptrend finally approaches the midline, the RSI line flattens out, reflecting weakness in the underlying bullishness and warns of a reversal. Additionally, the 14-day SMA line maintains the uptrend, ready to support the fall from $100. The Stochastic indicator shows the K and D lines merging in the overbought territory, displaying the bull cycle’s end. Thus, the indica...

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