Bearish Head and Shoulders Pattern in AAVE

Price Analysis on AAVE

Current scenario:

AAVE is valued at $370 after having a drop of 14% from the value of $420. On 10th February AAVE reached $580, but after that it has failed to cross $500. AAVE is moving downside after having rejection at $498 on 20th February.


AAVE price analysis chart

The above chart shows a strong possibility of bearish movement in AAVE due to the formation of the Head and Shoulder.

At the beginning of March, after getting strong support at a price of $300, AAVE moved upward and fell down to $350 from $400, then went back up to $460, but again dropped back to $350. Again while moving up it was rejected at $420. However, this has created a head and shoulder in AAVE, indicating a further downwards movement in AAVE. The value of AAVE can further go down up to $300-$320 before it can gain any Support.

News on AAVE

AAVE Protocol launched a new AMM for Liquidity providers of Uniswap and Balancer. This may change the market sentiment on AAVE. The addition of liquidity due to this project may give a price pump in AAVE.

You can learn more about this from the following link:

AAVE AMM Market Allowing Uniswap and Balancer LP Tokens as Collateral


Possibility of bearish movement in AAVE due to Head and shoulder. But It can hold this price due to the launch of the new AMM.

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