Aave has demonstrated remarkable resilience in the light of global market turbulence, back from a price drop of 15% over four days when buyers came in to take advantage of Defi’s growing momentum.
The price of the protocol climbed from $ 240 to more than $ 250, stimulated by expanding tokenized interest markets that draw an increased institutional and retail interest.
The price promotion comes as global trading tensions and new rate uncertainties – including reports that China is injected its trade agreement with the US – Volatility in risk assets.
Despite this headwind, the Defi -sector shows renewed strength, with total value locked (TVL) that rises to $ 178.52 billion. Aave remains an important leader in space and orders a TVL of $ 25.41 billion.
News background
- An important engine of the recent rebound of Aave is the integration of Pendle’s tokenized interest rate markets, in which new markets reached their supply hoods within a few hours after the launch, which underlines the strong demand for yield-generating products in the Defi-Ecosystem.
- The Ethereum Foundation (EF) borrowed $ 2 million earlier this week in GHO, Aave’s decentralized Stablecoin linked to the US dollar.
- This step, facilitated by supplying ETH as collateral, emphasized EF’s strategy to use its crypto companies to finance activities and at the same time support the Aave protocol.
- Aave’s Gho Stablecoin is completely overcollateralized within the Aave Ecosystem, where the EF’s loan is supported by 1,403,519.94 Gwei from ETH (appreciated at $ 0.01 in the transaction).
- Interest payments on this loan support the DAO Treasury of Aave, the strengthening of a community -driven financial model that stimulates participation and governance.
- The Dominance of Aave is underlined by its 45% market share from January 2023 to May 2025, according to Intotheblock data.
- This figure emphasizes the steady recovery of the Defi -Dip 2023 and confirms his status as the largest decentralized loan protocol per volume and activity.
Technical analysis summary
- Aave established a high-volume support zone around $ 242.70 during 16: 00-17: 00 and 01: 00-02: 00 hours, which strongly buy with volumes of more than 90,000 units.
- A bullish rising triangular pattern has been formed, with higher lows that indicate despite recent resistance.
- After a peak at $ 255.96 at 20:00, Aave resisted $ 253.75 before he stabilized at $ 248- $ 250.
- A remarkable volume peak between 07: 51-07: 52 coincided with a sharp increase from $ 248.98 to $ 249.82, resulting in a new level of resistance.
- A cup and hand pattern is created, where the handle develops between 07: 56-08: 00, that suggests that accumulation after the recent withdrawal.
- Consolidation in the short term near $ 249, in combination with an increasing volume on upward movements, hints to a potentially bullish momentum building for a test of $ 250 resistance.
As Defi-yield markets continue to expand, AAVE’s ability to integrate new products and support high volume support levels as an important player in the growth of the sector-allocation, according to the macro-economic challenges of the wider market.
Disclaimer: Parts of this article were generated with the help of AI tools and assessed by the Coindesk editorial team for accuracy and compliance with our standards. See Coindesk’s full AI policy for more information.
