- AAVE Token creates a bearish double top pattern in the weekly technical chart supported by the $275 level.
- The coin price forming the bearish pattern is held above by the 50 EMA, actively avoiding any further downfall.
- The AAVE/BTC is trading at 0.007518 BTC with an intraday fall of -2.46%.
AAVE Token price has made a bearish double top pattern in the weekly technical chart projecting the increasing underlying bearishness. However, the weekly 50 EMA and the $275 level manage to hold back the bears, preventing downside moves.
The trading volume has failed to rise above the 20 MA, indicating a loss of interest of investors that might induce further profit booking. Any extreme downside move might result in the pattern fallout. Analysts expect a fall of 30% in value upon a bearish breakthrough.
Presently, the token price is trading at $284.5, with an intraday decline of -5.80% market cap. Furthermore, the intraday trading volume of the coin has managed to rise 16% in the past 24 hours.
Descending Triangle In The Daily Technical Chart Of AAVE Token
In the daily technical chart, the AAVE token is resonating within the descending triangle. Investors might observe a fallout shortly due to increasing bearishness.
AAVE token price is trading below the critical 50 EMA but supported with the 200 EMA in the daily technical chart. Both the EMAs are sloping down, implying a death cross shortly, which might induce a further downtrend. However, a bullish breakthrough above the 50 EMA might lead to another bull run.
The RSI indicator (bearish) indicates bearish momentum as the RSI line slopes down and provides no bullish sentiments.
The ADX indicator indicates a slight rise in trend momentum, projecting a strong upcoming downtrend.
Conclusion – Investors must keep an eye near the $275 level to spot any bearish breakthrough. The bearish patterns project the underlying bearish sentiments that may soon give a fallout.
However, in the unlikely case of a bullish breakout, coin price might hit the $500 mark.
Support– $275 and $150