Technical Analysis: AAVE/USDT (4H Chart)
Price Action: AAVE is currently trading at 114.50. After a strong rebound from the solid floor at 92.25, the price is undergoing a healthy retest of pivotal support levels. We are currently positioned just below the critical resistance zone of 120.21.
SuperTrend Indicator: The indicator is currently displaying a bearish (Red) signal. For a confirmed trend reversal to the upside, we need to see a decisive 4-hour candle close above the $120 mark.
MACD Momentum: MACD lines are converging toward the zero line with a noticeable decrease in bearish momentum. A "Golden Cross" appears to be forming, which would serve as a high-conviction buy signal.
Stochastic RSI: This is the most compelling indicator on the chart, currently sitting in the extreme oversold territory (10.74). Historically, such levels often precede a significant price bounce.
Pro-Trading Signal 🚦
Trade Type: Long (Mean Reversion / Bounce Play).
Entry Zone: Between 110 - 114.50.
Targets:
Target 1: 120.20 (SuperTrend flip).
Target 2: 135.98 (Previous supply zone).
Target 3: 151.75 (Major peak objective).
Stop Loss: 4H candle close below 104.
The Article: AAVE at a Turning Point
Title: AAVE Testing Key Supports: Is a Recovery Rally Imminent?
"While the broader market remains indecisive, AAVE is flashing technical signals that demand attention. We are currently trading at a critical support junction. According to the Stochastic RSI, we have hit extreme oversold conditions, suggesting that the selling pressure is reaching exhaustion and a price reversal could be just around the corner.
Caution remains necessary until we clear the $120 resistance level. However, the current risk-to-reward ratio at these levels is highly attractive. The data suggests that the bears are losing their grip, paving the way for a potential move back toward the local highs.
My strategy remains consistent: buy the exhaustion and sell the euphoria. Keep a close eye on the 120 level; a successful breakout there would likely act as the catalyst for a rally toward the $150 zone."
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