Key Metric Flashes a Buy Signal for AAVE: How High Can the Price Go This Month?

AAVE may be showing early signs of a potential price shift. Crypto expert Ali posted on X (formerly Twitter) that a key metric has issued a buy signal for the token.

A derivative of the classic Fibonacci sequence, the TD Sequential is an indicator used to identify potential buy and sell signals in financial markets. It does this by scanning candlestick patterns and highlighting those that meet specific criteria, which are then assigned numbers.

In charting the daily time frame of AAVE, crypto analyst Ali, known on X (formerly Twitter) as @alipostertrader, highlighted a green "13" count from the TD Sequential. This is said to be a common occurrence when a technical setup is suggesting a shift in trend or momentum.

“13” Count From TD Sequential As Key Metric Flashes Buy Signal For AAVE

"The 13 count from the TD Count is highlighting a potential buy setup,″ said the analyst.

He added that the Relative Strength Divergence (RSD) had also issued a buy signal. A divergence occurs when the price is making a new low but an oscillator, in this case, RSD, is making a higher low. This divergence is said to indicate a loss of bearish momentum.

Chart of AAVE showing a completed buy setup according to the TD Sequential. Credit: @alipostertrader

As seen in the chart shared, AAVE price had been dropping steadily from March 25 through April 1, with several red candles. During this time, sellers kept pushing the price down toward an important support area between $148 and $150.

On April 1, there was a big red candle, followed by a white candle the next day. This candle had a small body and showed some hesitation from sellers after the strong selling pressure. April 3 brought another white candle, but with a long lower wick, reflecting buyers stepping in at lower levels.

Together, these signals, and the green "13" from the TD Sequential, suggest that the downtrend may be losing some strength. Such signals are often seen before a short-term price recovery or a period of consolidation.

AAVE Support And Resistance Levels To Watch

The price of AAVE appears to have found a support base in the $148–$150 range, which coincides with previous price rejections and the recent buy signal. This level could provide some support if bullish sentiment continues.

On the upside, the token is encountering resistance near the $163–$165 zone. This was a previous price zone where buyers struggled to maintain momentum. If AAVE manages to break above this barrier, the next resistance is expected around $170–$175, a range linked to earlier consolidation periods.

Moreover, Ali's tweet drew attention to the technical setup. In response, the market showed signs of recovery with a moderate upward movement. However, it’s worth noting that volume data was not provided in the chart.

Traders may watch for confirmation in the form of stronger bullish candles or a decisive break above the overhead resistance. Without this, the current move could be viewed as a temporary bounce.

The coming days will be crucial in determining whether AAVE can build on this signal and begin a broader recovery through April.