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Breaking News: Bitcoin Price Tumbles Toward $98,000: What’s Driving The Drop And What Lies Ahead
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Breaking News: Bitcoin Price Tumbles Toward $98,000: What’s Driving The Drop And What Lies Ahead

AAVE Faces Major Price Drop As TD Sequential Signals Sell – Details

Semilore Faleti
Semilore Faleti
Last Updated: January 12, 2025 3:30 pm
2 mins read
AAVE

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The Aave (AAVE) market suffered significant losses in the past week as price declined by 17.07% according to data from CoinMarketCap. While the DeFi token has shown some stability in the last 24 hours, certain market indicators suggest the bearish storm may be far from over.

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10 months ago

AAVE Could Crash By 30% If Signal Holds 

In a recent post on social media platform X, crypto analyst Ali Martinez shared a hawkish prediction on the AAVE market. According to Martinez, the TD Sequential indicator has presented a sell signal on the AAVE weekly chart, suggesting a major decline on the horizon.

In trading, the TD Sequential developed by Tom DeMark is used to identify potential turning points in price trades. It basically indicates when an asset’s price is overextended in a particular direction and due for a reversal.

Based on Martinez’s forecast, if the TD Sequential sell signal holds, AAVE could undergo a significant correction falling to around $264. However, in the presence of overwhelming selling pressure, the L2 token could be headed for $203, indicating a possible 29.5% decline from AAVE’s current price.

 

AAVE
Source: @alicharts on X

Interestingly, this bearish prediction is backed by other indicators. Firstly, Relative Strength Index indicator has a value of 62.57 indicating that AAVE is still far from the oversold zone and may experience further decline in the coming weeks.

Furthermore, the asset’s 100-day simple average is also far below the current price which can be interpreted as another bearish signal. Clearly, there’s much need to apply caution in engaging the present market. At press time, AAVE trades at $290.04 after a slight 2.48% gain in the last 24 hours. However, its daily trading volume has dipped by 48.99% which may potentially indicate that selling pressure is beginning to ease up.

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Aave Set To Launch V4 

Despite the ongoing price struggle, the Aave protocol continues to record positive development. Most recently, NewsBTC reported that Aave registered $35 billion in total net deposits, representing an all-time high value since 2021.

In addition to this, the DeFi protocol is preparing to launch its V4 network upgrade that is expected to introduce advanced risk tools and unified liquidity among other benefits. According to data from DeFiilama, AAVE continues to rank as the second largest DeFi protocol with a Total Value Locked (TVL) of $20.4 billion. 

The decentralized lending platform falls only behind liquid staking protocol Lido Finance which boasts of a TVL of $31.60 billion.

AAVE
AAVE trading at $290.95 on the daily trading chart | Source: AAVEUSDT chart on Tradingview.com
Featured image from iStock, Chart from Tradingview
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Semilore Faleti
Semilore Faleti

Semilore Faleti

Semilore Faleti is a cryptocurrency writer specialized in the field of journalism and content creation. While he started out writing on several subjects, Semilore soon found a knack for cracking down on the complexities and intricacies in the intriguing world of blockchains and cryptocurrency.

Read more

Semilore is drawn to the efficiency of digital assets in terms of storing, and transferring value. He is a staunch advocate for the adoption of cryptocurrency as he believes it can improve the digitalization and transparency of the existing financial systems.

In two years of active crypto writing, Semilore has covered multiple aspects of the digital asset space including blockchains, decentralized finance (DeFi), staking, non-fungible tokens (NFT), regulations and network upgrades among others.

In his early years, Semilore honed his skills as a content writer, curating educational articles that catered to a wide audience. His pieces were particularly valuable for individuals new to the crypto space, offering insightful explanations that demystified the world of digital currencies.

Semilore also curated pieces for veteran crypto users ensuring they were up to date with the latest blockchains, decentralized applications and network updates. This foundation in educational writing has continued to inform his work, ensuring that his current work remains accessible, accurate and informative.

Currently at NewsBTC, Semilore is dedicated to reporting the latest news on cryptocurrency price action, on-chain developments and whale activity. He also covers the latest token analysis and price predictions by top market experts thus providing readers with potentially insightful and actionable information.

Through his meticulous research and engaging writing style, Semilore strives to establish himself as a trusted source in the crypto journalism field to inform and educate his audience on the latest trends and developments in the rapidly evolving world of digital assets.

Outside his work, Semilore possesses other passions like all individuals. He is a big music fan with an interest in almost every genre. He can be described as a “music nomad” always ready to listen to new artists and explore new trends.

Semilore Faleti is also a strong advocate for social justice, preaching fairness, inclusivity, and equity. He actively promotes the engagement of issues centred around systemic inequalities and all forms of discrimination.

He also promotes political participation by all persons at all levels. He believes active contribution to governmental systems and policies is the fastest and most effective way to bring about permanent positive change in any society.

In conclusion, Semilore Faleti exemplifies the convergence of expertise, passion, and advocacy in the world of crypto journalism. He is a rare individual whose work in documenting the evolution of cryptocurrency will remain relevant for years to come.

His dedication to demystifying digital assets and advocating for their adoption, combined with his commitment to social justice and political engagement, positions him as a dynamic and influential voice in the industry.

Whether through his meticulous reporting at NewsBTC or his fervent promotion of fairness and equity, Semilore continues to inform, educate, and inspire his audience, striving for a more transparent and inclusive financial future.

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Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

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Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

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We cover BTC news related to bitcoin exchanges, bitcoin mining and price forecasts for various cryptocurrencies.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

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