Aave bulls defend this crucial support level and further gains are expected

ambcrypto.com:

Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion.

The past week has been a steady onslaught from the Aave sellers. The price fell from $92 to $77 within a week, but a bullish reversal could occur soon. There was some disagreement with this anticipation and from the indicators.

How much are 1, 10, 100 AAVE worth today?

Is it a good idea to buy AAVE, just because it sat atop near-term support? Will the bounce from $77 see a follow-through, or will the prices continue to plunge lower over the next week?

A lot depended on Bitcoin. As long as BTC did not see sharp selling pressure, the outlook for AAVE remains bullish in the near term.

Source: AAVE/USDT on TradingView

The rejection from $91.3 on 17 January established a range that AAVE continued to trade within today (27 February). The highs and lows of this range lie at $91.3 and $77.5 respectively, with the mid-range at $84.5.

Aave tested the low of the range on 26 February, reaching $77.2 before bouncing. At the time of writing, it traded at $82.5. From analyzing the price action alone, the inference is a bullish week for AAVE.

It is likely to test the $84.5 mark soon, breach it, and head toward $91.3-$92 if Bitcoin does not see huge selling pressure.

However, the indicators disagreed with this notion. The MACD formed a bullish crossover beneath the zero line, which indicated bearish momentum was weakening, although the bears still ran the show.

The DMI also showed a strong downtrend in progress, with both the ADX and the -DI (red) above 20.

Realistic or not, here’s AAVE’s market cap in BTC terms

The market structure was also bearish on the 4-hour chart, but until the range is broken,