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AAVE Breaks $340 as Bulls Target $380 in Fresh Rally

AAVE Breaks $340 as Bulls Target $380 in Fresh Rally

CryptonewslandCryptonewsland2025/08/23 19:35
By:by Yusuf Islam
  • AAVE price rose 14% in one day and moved above $340 with strong momentum.
  • The $380 mark is now the key level to watch for the next market reaction.
  • Trading volume shows heavy demand and signals buyers are in clear control.

Aave (AAVE) staged an explosive move on August 23, 2025, surging 14.52% in a single session. The token climbed $43.59 to trade at $343.86, placing it at the upper edge of a critical breakout zone. The sharp rise now positions AAVE close to the $380 resistance barrier, a price level that has repeatedly capped bullish rallies this year. 

$AAVE flexing a breakout. Just beautiful tbh.

Relative strength pic.twitter.com/MbB0gLd2qp

— Cheds Trading (@BigCheds) August 22, 2025

With strong relative strength and heightened trading activity, the move signals renewed demand as investors evaluate whether AAVE will finally crack higher or stall just short of the $400 psychological mark.

Breakout Structure and Price Levels

AAVE’s chart reveals a textbook breakout from a consolidation pattern that has dominated for weeks. Price had struggled between $290 and $310, where it found repeated rejection before bulls eventually overwhelmed sellers. This consolidation box now acts as a support floor. Below it, the $250–$270 region served as the last line of defense, where multiple rebounds earlier this summer prevented deeper declines.

 With the breakout, the immediate upside target stands at $380, a level clearly defined by the top boundary of the marked resistance zone. If momentum carries past this barrier, further extensions toward $400, $420, and even $460 cannot be ruled out.

Indicators Confirm Bullish Momentum

The one-day chart emphasizes that AAVE is currently trading above all major moving averages. The 50-day, 100-day, and 200-day lines have aligned in a supportive pattern, signaling that the overall trend favors buyers. The Bollinger Bands have widened noticeably, suggesting volatility is back in full swing. 

Price has touched the upper band near $345, a sign of strong bullish energy. While this often hints at temporary overextension, it also confirms that buyers remain in firm control. Analyst commentary on relative strength highlights that AAVE is outperforming several top-cap tokens, a factor that keeps trader enthusiasm alive.

Volume Dynamics Show Demand

Perhaps the most convincing signal is volume. The lower section of the chart shows a clear uptick in green bars as the price punched through the $340 threshold. Volume spikes of this scale often validate breakouts, separating genuine moves from false starts. By contrast, earlier red spikes in June and July dragged the price down toward $250, but buyers consistently absorbed the supply, forming a durable base. 

This accumulation phase appears to have paid off, as the latest move shows conviction rather than speculation. If demand continues at this pace, holding above $340 should become easier, though bears will likely attempt a pullback toward $310 for a retest.

What Comes Next

Traders now face a straightforward equation. If AAVE clears $380 with volume support, the path toward $400–$420 opens quickly. Should it fail, a retest of $310–$320 is probable, and that zone will determine if bulls have the stamina for another attempt. Either way, the $250 safety net remains intact, cushioning downside risks. For now, AAVE is flexing its breakout credentials, with the market watching whether this rally transforms into a sustained climb or just another brief sprint in crypto’s never-ending marathon.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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