AAVE Oversold Alert! Bulls are gathering at key support levels, with a breakthrough at the $285 resistance imminent. Don't miss this FOMO opportunity!
Technical Analysis
Current price is 281.92, near the lower Bollinger Band (277.96), with a position of 28.6% showing oversold signals; above MA200 (273.76) and holding cost (273.18), with a deviation of about 3%, supporting a medium-term upward trend. Trading volume is 0.52 (below average), with a 24-hour price drop of 1.89% but on reduced volume, indicating weakened selling pressure; open interest decreased by 3.88% while the long-short ratio rose to 3.14, indicating a slight bias towards bullish smart money, with no significant news impact. Key support: 277.96 (lower Bollinger Band), 273 (MA200/cost area); resistance: 285.99 (seller liquidity accumulation area, 270k USDT orders), 291.8 (upper Bollinger Band). The total value of buy orders in the near area is 480k USDT, higher than sell orders at 393k, indicating dominant buying pressure but dense selling pressure above 285.
Market Cycle Analysis
The market is in the mid-stage of a bull market pullback, with an RSI of 36.4 not yet reaching the oversold zone; combined with prices above MA200, a continuation of the upward trend is expected after the pullback.
Trading Strategy
• Entry point: 280 (aggressive, near current price support) or 277.96 (conservative, lower Bollinger Band).
• Stop loss point: 273 (break below MA200 and cost area).
• Target price: 286 (first resistance, liquidity area) or 291.8 (upper Bollinger Band).
• Risk-reward ratio: 1.43 (based on entry=280, stoploss=273, takeprofit=286).
Risk Warning: Decreased open interest suggests continued downside risk; if support at 273 is broken, the strategy becomes invalid. In terms of operations, position risk ≤ 2%, avoid trading during low liquidity periods.
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