Aave's price is currently facing significant challenges as it struggles to maintain critical support levels. After a recent drop below the 168-170 range, the cryptocurrency has seen a sharp selloff, with its price hovering around 162. The source reports that this decline has raised concerns among investors about the future performance of the asset.
Controlled Outflows Amid Increased Trading Activity
Despite the increased trading activity, on-chain data indicates that the outflows are controlled, suggesting that investors are not panicking. Aave is now considered deeply oversold, with the Relative Strength Index (RSI) nearing extreme lows, which raises the possibility of a short-term price bounce if the 158-160 support zone holds firm.
Long-Term Outlook and Critical Support Area
While the overall trend remains bearish as long as the price stays below 170, long-term investors are likely to keep a close eye on this critical support area. They are hoping for a potential recovery in the near future.
Recent analysis indicates a strong bullish trend for LINEA, contrasting with Aave's current struggles to maintain support levels. For more details, see the full report here.
