- Whale activity and Ethereum Foundation’s funding reinforced market confidence in AAVE’s long-term potential
- Rising address activity and large transactions highlighted growing adoption and bullish market sentiment
Aave [AAVE] has sparked significant market interest after a whale deposited 17,002 AAVE ($5.9M) to Binance, raising questions about potential price movements. This follows the whale’s previous activity, which saw profits of $13.5M (+330%) from its previous trades.
Right now, the whale holds 11,637 AAVE ($3.87M), hinting at a strategic reduction in exposure. At press time, AAVE was trading at $333.10, following a 3.91% decline over the last 24 hours.
Ethereum Foundation allocates $165m to AAVE
The Ethereum Foundation has allocated 50,000 ETH ($165M) to AAVE, bolstering the DeFi platform’s liquidity and ecosystem presence. This funding comes alongside the setup of a secure 3-of-5 multi-sig wallet to facilitate transactions and strengthen protocol security.
Additionally, the investment represented a strong vote of confidence in the token’s long-term viability within decentralized finance. This capital injection can be expected to catalyze innovation and enhance integration with Ethereum’s broader ecosystem.
Scaling AAVE with Bitcoin treasury growth proposal
A recent proposal also highlighted an ambitious plan to grow its treasury by integrating Bitcoin mining revenues. This strategy aims to diversify income streams while also leveraging Bitcoin’s robust network.
Furthermore, incorporating the GHO stablecoin into Bitcoin transactions could attract institutional investors seeking scalability and stability. These moves could redefine AAVE’s role in the DeFi space, while solidifying its competitive position.
Symmetrical triangle signals potential breakout
At the time of writing, AAVE seemed to be consolidating within a symmetrical triangle pattern, one supported by an inverted Head and Shoulders formation. The key support lay near $320, while the critical resistance was found at $372.
Historically, such patterns precede major price movements, with a potential breakout signaling upward momentum. The narrowing range highlighted reduced volatility, which often leads to decisive price action. If AAVE can break above $372, it may unlock significant upside potential for the altcoin.
Source: TradingView
Large transactions indicate growing confidence
Large transactions have risen by 6.14% – A sign of bullish sentiment among high-net-worth investors. These significant transactions often precede price rallies, reflecting confidence in AAVE’s market direction.
Furthermore, the whale’s recent $5.9M deposit added to this optimism, potentially fueling further accumulation. Simply put, these developments hinted at growing momentum that could affect the token’s price action on the charts.
Source: IntoTheBlock
Address stats suggest renewed interest
Address statistics further underscored AAVE’s growing adoption. Active addresses have been climbing steadily, while zero-balance addresses increased by 9.84% – A sign of wallet re-activation.
Additionally, the steady uptick in network activity seemed to align with greater investor confidence. Simply put, this trend highlighted the token’s expanding user base and renewed ecosystem engagement.
Source: IntoTheBlock
Read Aave’s [AAVE] Price Prediction 2025–2026
Collectively, AAVE’s whale activity, Ethereum Foundation’s funding, and strategic proposals all signaled strong market confidence. The altcoin’s bullish technical setup and growing transaction volume further underscored the potential for upward price movement.
If it breaks the $380 resistance, a significant rally could follow. Therefore, all signs suggested that the token may be well-positioned for a potential breakout in the DeFi space.
