AAVE Poised for Rebound: TD Sequential Signal Fuels Recovery Optimism

• Technical analysis shows AAVE trading near major key support zones, with TD Sequential indicators suggesting that selling pressure may be nearing exhaustion.
• The downtrend, defined by lower highs and lows, contrasts with clear emerging recovery signs from technical indicators like the TD Sequential count.
• Support levels between $185 and $190, combined with the 400-day EMA and RSI near oversold, provide key benchmarks for potential price recovery.

AAVE remains under scrutiny as technical signals indicate a potential rebound amid persistent downtrend pressure. 

Analysts Insight on Rebound Setup

A recent tweet from crypto expert Ali MArtinez has captured market attention. He stated that AAVE is setting up for a price rebound as the TD Sequential indicator presents a buy signal on the daily chart.

The TD Sequential count displays the initial “1” candle followed by a “9” candle, suggesting that selling pressure may be nearing exhaustion. Traders find this signal notable as it may prompt early buying interest.

Key Support and Resistance Levels

Technical analysis identifies a support zone between $185 and $190. This range has repeatedly attracted buyers during recent trading sessions.

Should this support hold, AAVE could attempt a recovery toward the $200-$210 range. In contrast, a breakdown below the support may result in further declines, potentially testing levels near $170. Resistance areas near $205-$210 and $225-$230 provide potential barriers that traders watch closely.

Technical Indicators and Market Outlook

AAVE has experienced lower highs and lower lows, indicating a clear downtrend. A large bearish candle in the middle of the trend further accelerated the decline, despite minor recovery attempts. 

The asset is testing long-term support provided by the 400-day EMA at $181.62. Meanwhile, the 14-day RSI remains near 31.08, a level close to the oversold threshold.

These indicators signal that buyer interest could strengthen if the price reverses. Market participants are cautious and monitor daily candle patterns for confirmation of a rebound. Technical setups such as the TD Sequential indicator are proving essential for evaluating the market’s direction.AAVE has shown signs of recovery, yet overall sentiment remains mixed. The asset’s value stood at $194.16 at the time of writing, marking a 2.30% increase over the past 24 hours. Over the past week, AAVE has declined by 21.79%.