Aave Pumps +29% to Hit 3-Year High: Why is Aave Pumping?

Aave has lit up the market, surging 34% in a day and landing at $355—its best showing since August 2021. With a market cap swelling to $5.3 billion, it’s locked in as the 31st largest cryptocurrency.

But why this sudden leap? A closer look reveals the dynamics behind Aave’s breakout and the technical forces pushing it skyward.

Broader Market Momentum Lifts Aave

Aave’s uptick started with a broader market swing. November’s U.S. Consumer Price Index rose 2.7% year over year, right in line with forecasts. Markets brightened almost instantly.

Bitcoin broke the $100,000 barrier, bringing the total crypto market cap up 4% to $3.82 trillion. Riding this wave, Aave tapped into the bullish energy, drawing fresh investor interest.

Behind Aave’s climb are heavy-hitting updates that pack both scale and strategy. Its total value locked—$22 billion strong—cements its place near the top of DeFi. The upcoming Linea launch, a zk-rollup network backed by Consensys, will amp up speed and slash fees, a move ratified by Aave’s community.

Then there’s Balancer v3, a partnership reworking liquidity pools to wring out better yields for users, giving the market more reasons to stay bullish.

Whale Activity and Institutional Interest for AAVE

Whale accumulation has played a critical role in Aave’s price surge. Large holders became increasingly active when Aave’s price dipped below $260 earlier this month. According to blockchain analytics firm IntoTheBlock, Aave experienced a net inflow of 103,610 tokens on December 9, signaling strong demand from big players.

Adding to this momentum, President-elect Donald Trump’s DeFi project, World Liberty Financial, reportedly acquired $1 million worth of AAVE tokens at an average price of $297.8. The institutional interest of this kind has provided additional credibility and liquidity for Aave’s market performance.

AAVE Crypto Technical Analysis Highlights Bullish Setup For AAVE Price Action

Aave’s charts paint a bullish picture. The $375 support level, tied to the 20-day SMA, acts as a solid base for price stability, while resistance at $383, in line with the upper Bollinger Band, sets the stage for the next breakout test. With the 20-day SMA holding steady at $375.57 and the 200-day SMA way down at $340.69, the trend screams upward momentum with plenty of room to run.

The MACD line remains slightly above the signal line, indicating bullish momentum.

Interestingly, a bullish cup-and-handle pattern has emerged on Aave’s charts. If the price breaks resistance at $383 with sufficient trading volume, it could signal the next leg up for this DeFi giant.

One New Memecoin That Will Outperform AAVE

While AAVE deserves to be on your radar, Flockerz is becoming a top meme coin performer.

Known as “The People’s Meme Coin,” Flockerz ($FLOCK) quickly raised over $6 million in presale. It offers a unique vote-to-earn feature and exceptional staking rewards, reshaping community interaction.

Throwback Thursday: You're reading all the benefits of the Flockerz Vote-To-Earn system for the first time! 💙🐦🔥 pic.twitter.com/XWORjPpjow

— Flockerz (@FlockerzToken) December 12, 2024

Central to its design is Flockerz’s Flocktopia, a decentralized autonomous organization (DAO) that empowers every $FLOCK holder.

As it stands, 2.4 billion $FLOCK tokens (20% of the total supply) are available for presale at $0.00635 each.

Equal shares of tokens are earmarked for marketing, aiming for global exposure and exchange listings, while 10% (120 million $FLOCK) is set aside for exchange liquidity.

Interested investors can purchase $FLOCK with ETH, BNB, USDT, or bank cards on the website.  Hold on, because the $FLOCK is taking off!  Join it now. Follow Flockerz on X and Telegram.

Visit the Flockerz presale website NOW.

EXPLORE: Over 300,000 ETH Withdrawn from Exchanges In 7 Days: Ethereum Preparing For $6,000?

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Disclaimer

Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. You could lose all of your capital.
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