- Aave price has jumped to the highest point since February.
- Investors are excited about the Aave V3 launch.
The Aave price has rebounded in the past few days as Decentralized Finance (DeFi) tokens staged a strong recovery. The token is trading at $155, which is about 37% above the lowest level this year. As a result, the total market cap of the token has risen to over $2.1 billion, making it the 56th biggest token in the world.
Aave V3 launch
Aave is a leading decentralized finance (DeFi) project initially built using Ethereum’s technology. The platform offers a non-custodial platform for lending and investing. It was one of the first platforms in the decentralized finance (DeFi) industry.
In the past few years, Aave has seen significant growth. Its total value locked (TVL) in the platform has risen sharply to over $12 billion. At its peak, it had a TVL of over $19.4 billion.
Aave has also expanded across multiple chains in a bid to attract new users. It has launched multiple versions on Polygon and Avalanche.
It is unclear why the Aave price has been in a strong bullish trend in the past few days. A possible reason is the fact that Aave wants to take its platform mainstream after launching its V3 platform. This is a notable step considering that the platform will now be available in multiple chains like Fantom, Optimism, Arbitrum, and Harmony.
Another reason is the recently launched Aave Arc, which is a service that introduces institutions to the industry. The platform will let large companies be able to offer liquidity and trade digital assets. It is designed to reduce risk and assuage concerns for large investors. In the past few weeks, it has already attracted about $30 million with of assets.
Further, other DeFi tokens like Uniswap, Xido Finance, and Curve Finance have done well in the past few weeks.
AAVE price prediction
The four-hour chart shows that the Aave price has been in a strong bullish trend in the past few days. This performance started when the coin formed a strong support at $113. Since then, it has moved above the 25-day and 50-day moving averages while the Relative Strength Index (RSI) has been in a strong upward trend.
Therefore, there is a likelihood that the Aave token will keep rising in the coming days. This view will be confirmed if it manages to move above the key resistance level at $170. If this happens, the next key level to watch will be at $200.
