AAVE has retraced below the 0.618 (170) from the upside move that began Mar 14 as is currently struggling to reclaim it. Importantly, we must watch for a rejection on the RSI as well. If we can get back above this point, the falling wedge breakout is looking real and there's a good chance we'll see the move continue to 325 or higher. If we can't get above this level, the breakout was just a bulltrap and we'll be revisiting 115 with a good chance we'll see it fall below 100. Short term we're truly at a crossroads, and we could see more pain before the gains, but long term I'm extremely bullish on AAVE. It's been consolidating for nearly a year and is one of the few blue-chip projects that hasn't seen a major move or new ATH since last year's May crash (THETA is another). Whether or not we see new ATHs from current levels of further downside before doesn't matter to me as I've been accumulating and am willing to hold and wait. As always, DYOR and trade based on your own timelines and risk tolerance.
Comment:
Despite the brief pump above 170, AAVE was never able to close a weekly candle above that level and blasted through the downside target range of 95-115, wicking down to one of the last long term supports we can see on this chart. Poetically, 95 has now become resistance, and remains a target level to watch.
