- Aave broke past the $150 price to make a new yearly high.
- True retail longs and Open Interest were moving up as well.
Aave [AAVE] has recently broken through the $150 price level, marking a new cycle and yearly high.
Analysts believe that if Aave holds above the $154 price level, it could accelerate and potentially reach $260, representing a 75% gain from its current price as at press time.
While Aave briefly rejected the $154 level, this is typical at key resistance points. The strength in Aave’s price action suggested that this was a pause before further upward movement.
The MACD indicator, which had been bearish since August, has now flipped bullish, indicating a potential rally. Aave started September strong, printing a fresh high for 2024.
Source: TradingView
True retail longs accounts percentage
AAVE’s performance stands out, especially when compared to the retail longs accounts percentage for BTC/USDT and AAVE/USDT, as shown by Hyblock Capital.
Only 22% of retail accounts were in long positions at press time, while Open Interest saw rising growth.
This ratio, which mirrors a previous price drop before a rally, indicated that long traders were gaining control over short traders. The trend suggested that AAVE may be gearing up for another price surge.
Source: Hyblock Capital
Open Interest on the move
Further analysis using Coinglass revealed steady growth in Aave’s Open Interest, particularly this September.
As of the latest data, with AAVE priced at $149.26, its Open Interest had reached $204.58 million. This is a positive indicator, supporting the likelihood of a price surge in the near future.
Source: Coinglass
Aave’s GHO growth is strong
Aave’s native decentralized stablecoin, GHO, was also experiencing strong growth. As of press time, GHO’s supply increased to 135 million tokens, with a market cap of $135 million.
The total number of holders reached an all-time high as well, with 2.4K users. Around 76% of GHO’s supply, or approximately 103 million tokens, was staked by 1.59K stakers.
GHO remained tightly pegged to the USD, with no significant price deviations, indicating strong stability.
Source: X
Lastly, Aave’s founder has hinted at expanding GHO’s deployment to other blockchains. Currently, Aave V3 is live on multiple networks, including Ethereum [ETH], Arbitrum [ARB], Base, Avalanche [AVAX], Polygon [MATIC], and Optimism [OP].
However, GHO is only deployed on ETH and ARB, leaving room for further expansion across other networks, as Stani Kulechov’s post on X read,
“This leaves significant room for GHO to expand across additional networks.”
This potential expansion could drive further growth in both Aave and GHO, providing additional support for a higher price.
Read Aave’s [AAVE] Price Prediction 2024–2025
Overall, Aave’s price outlook remains positive. With rising Open Interest, bullish technical indicators, and growing adoption of the GHO stablecoin, it could be set to move higher.
If market conditions remain favorable, AAVE might see significant gains in the coming months.