AAVE bearish intensifies, whale selling and technical weak signals coincide

Price Overview and Whale Movements

Aave(AAVE) has recently been experiencing continued bearishness and is currently trading at $171.84. Despite a decline of over 12% last week, there are no clear signs of recovery. According to on-chain data analysis platform Lookonchain, a whale wallet sold 230,350 AAVE tokens, worth approximately $37.8 million, on Monday. This is interpreted not as a one-time transaction but as a sign that large funds are systematically closing their positions.

Surge in Profit-Taking Activity, Increasing Selling Pressure

The Santiment network realized profit/loss(NPL) indicator shows that profit-taking activity among holders has reached its highest level since late November. This indicates that even average holders are looking to realize significant gains at the current price. Notably, both large funds(whales) and retail holders are exhibiting selling sentiment simultaneously, leading to a gradual buildup of selling pressure.

Weak Signals from Technical Indicators

From a technical analysis perspective, several warning signs are being detected. The RSI(Relative Strength Index) remains at 36, below the neutral 50 level, indicating that downward momentum remains strong. The MACD has shifted back to a bearish trend after last week’s bullish signal, suggesting the possibility of intensified short-term correction.

Price Scenarios and Support Level Focus

If AAVE continues its current downtrend and falls below the weekly support level of $160.51, further decline toward the November 21 low of $147.13 should be watched closely. Conversely, considering the extreme bearish signals from the indicators, a short-term rebound—similar to a coin toss—could test the daily resistance at $179.27. Amid this volatility, investors need to be aware of support and resistance levels clearly.