Aave (AAVE) Rallies to 3-Year High as Dormant Whales Revive the Market

Over the past 24 hours, Aave [AAVE] has experienced a strong upward momentum, rising from $269 to a 3-year high of $359.

Over the past 24 hours, Aave [AAVE] has noted a strong bullish presence. The token has seen a 32.82% increase on daily charts, rising from $269 to a 3-year high of $359.

At the time of writing, however, Aave was trading at $353. Nonetheless, this marked a 32.82% increase on daily charts.

As such, several factors were noted to be driving this Aave rally. According to Santiment, one major factor was the massive drop in “mean dollar invested age.”

3-year highs for Aave

Aave has now surged to surpass the $300 mark for the first time in 3 years as big dormant investors are moving old coins, according to Santiment.

Sursa: Santiment

With the mean dollar invested age declining, it indicates that major key stakeholders are moving their previously stagnant tokens into circulation, perpetuating bullish momentum for the altcoin.

If whales continue circulating older coins, the rally could see strong upward momentum.

This activity of whales circulating older coins has been witnessed over the past hours with Blockchain Capital.

Sursa: SpotOnChain

SpotOnChain highlighted that this entity deposited 16,964 Aave tokens, which were worth $5.06 million, to FalconX after two years of dormancy.

This activity from dormant wallets is crucial for the rally, as it creates liquidity and keeps the network actively engaged.

Sursa: Lookonchain

While this entity made a deposit, new buyers are entering the market. As such, World Liberty has been on a buying spree, purchasing 3357 tokens over the past day at an average price of $297.8.

With large holders starting to accumulate and dormant whales putting coins back into circulation, the rally could see steam. However, it’s worth noting that a retrace could occur as soon as large wallets ‘put on the brakes’.

Can Aave sustain the uptrend?

Aave is currently experiencing a strong uptrend as dormant whales have revived the market.

With increased buying pressure and bullish momentum, the altcoin could see more gains on its price charts.

Read Aave’s [AAVE] Price Prediction 2024-25

If the prevailing sentiment holds, Aave will find significant resistance around $378. A move above this level could see the altcoin hit $400.

However, if large wallets stop releasing old coins, a retrace could occur. In such a case, Aave could decline to $297.