🌎 AAVE Price Pullback Amid Rising Centralized Exchange Outflows

The price of AAVE experienced a pullback on Tuesday, Sept. 24, as on-chain data highlighted an increase in centralized exchange (CEX) outflows. AAVE, a top-performing DeFi asset, retreated to $164.5, down from this week’s high of $178. Despite this, it remains 131% above its lowest level in July.

Centralized Exchange Outflows

According to recent data, AAVE had CEX outflows exceeding $6.35 million, a 4.96x increase from the recent average. CEX outflows are often viewed positively for a cryptocurrency as they suggest investors are transferring their tokens to self-custody, indicating long-term holding.

Investor Sentiment

Additional data reveals that the top ten largest accounts purchased AAVE tokens worth over $8.4 million, compared to sales worth over $7.8 million. This indicates that more investors remain optimistic about AAVE, anticipating a potential DeFi resurgence.

DeFi Llama Insights

According to recent statistics, AAVE has accumulated over $12.53 billion in assets, predominantly in its V3 version. Out of these assets, $8.09 billion has been borrowed, and the network has generated over $260 million in fees over the past 12 months, making it one of the most profitable DeFi platforms.

Future Interest

Data shows that AAVE’s future interest remains high. Daily open interest has stayed above $87 million since Aug. 15, reaching a peak of $214 million on Sept. 11. Prior to this, the highest open interest was $124 million on Aug. 2.

Technical Analysis

On the weekly chart, AAVE has been in a robust bullish trend over the past few weeks. It has stayed above the ascending trendline that connects the lowest points since June 2022.

Key Resistance Levels

AAVE has surpassed the crucial resistance point at $154.21, its highest swing in March this year. It has also climbed above the 25-week moving average, while the Relative Strength Index (RSI) is approaching the overbought level.