AAVEUSDT, there are several strong arguments for a bullish outlook in the short to medium term:
1. Strong Bullish Momentum & Price Action:
Significant Gains: AAVEUSDT has demonstrated substantial positive price action recently. Over the past month, it has seen gains exceeding 50%, and the past week also shows a strong upward trend (around +15%). This indicates strong buying pressure and investor confidence.
Breaking Resistance: Multiple sources highlight AAVE breaking through key resistance levels in the $240-$245 range and establishing new higher highs in the $270s. This suggests a potential shift in market structure from consolidation to a clear uptrend.
Bullish Crossovers: Some technical analysis points to bullish moving average crossovers (e.g., AMA50 crossing above AMA100 on the daily timeframe), further reinforcing the bullish momentum.
Strong Bullish Candles: The formation of strong bullish engulfing candles has been noted, indicating a potential continuation of the upward trend.
2. Positive Technical Indicators:
RSI Not Yet Overbought (Sustained Momentum Potential): While the Relative Strength Index (RSI) is elevated, some analysis suggests it's not yet in heavily overbought territory. This implies that there could still be room for further upward movement before a significant correction.
MACD Buy Signal: The Moving Average Convergence Divergence (MACD) indicator is showing a buy signal in some analyses, indicating bullish momentum is building.
Supportive Moving Averages: The price is trading above key moving averages (like the 10-day and 20-day EMAs and SMAs), acting as dynamic support levels.
Potential for Further Upside Targets: Some analysts are targeting higher levels, with potential resistance zones around $270-$273 and even higher targets in the $280-$310 range based on ABC structure analysis.
DYOR
