DreamAnalysis | AAVEUSDT Key Triggers and Potential Trends
2024-09-18

📚 Welcome to Today’s Analysis  

Today, I’m going to analyze the AAVE coin for futures and review the potential entry triggers and probable trend. The analysis will be conducted in daily and 4-hour time frames.



 📊 Daily Time Frame  

In the daily time frame, we see a strong bullish move with a healthy trend. During this movement, volume has also increased, indicating the strength of the trend. 

Additionally, the movement is parabolic, and each time the price corrects less and continues with greater momentum.

After breaking the 117.65 resistance, the price moved up to the next resistance at 149.59 and is currently in a correction phase.

If the price finds strong support from the curved trendline or breaks through the 149.59 resistance, we can expect the start of the next move, targeting the next resistance at 186.82.

The RSI indicator, if it breaks above 64.88, will confirm the entry of momentum into the market. Additionally, a volume increase during the break of 149.59 will confirm volume strength.

On the other hand, if the price breaks the curved trendline and we see a confirmation of Dow Theory (Lower Low) or a break of 117.65, it will signal the end of the uptrend. The target for this bearish move could be 77.66, which is currently AAVE's key support.

For the RSI, confirmation of bearish momentum will require it to not only break the trendline but also fall below the 50 zone, indicating that downward momentum is entering the market.

 📉 4-Hour Time Frame 

In the 4-hour time frame, after reaching the 154.32 resistance, the market has entered a correction and consolidation phase. Since the higher time frame trend is bullish, the volume of corrective candles has decreased, and the uptrend remains strong.

In this time frame, we have two long position triggers at 146.88 and 154.32, with the RSI confirming momentum if it breaks 60.71.

For a short position, the risky trigger is at 138.14, and the confirmed trigger is at 117.65. The RSI will confirm momentum if it breaks below 42.70.

 🚀 Current Market Outlook 

In the short term, the trend for AAVE appears to be corrective, and it may even make a downward move. However, in the long term, the outlook for this coin remains bullish.