AAVE rose more than 13% in the past 24 hours as investors reacted to new developments surrounding the protocol’s long-term tokenomics.
Trading volume rose above $546.6 million, while the market capitalization reached $1.44 billion, reflecting stronger market participation.
The demonstration followed comments from Aave founder Stani Kulechov, who dismissed claims that Aave Labs planned to sell AAVE tokens at a significant discount.
Instead, he reaffirmed that 100% of the revenue from the Aave Protocol and GHO belongs to the AAVE token, while noting that the protocol currently generates approximately $134 million in annualized revenue for the Aave DAO.
He also revealed that Aavenomics 3.0 is in development and will introduce an automated buyback mechanism.
Foreign exchange reserves increased despite stronger demand
As sentiment improved, Exchange reserve USD also rose 16.97% to $229.49 million, indicating more AAVE has moved into exchange portfolios.
Such inflows generally increase the number of tokens readily available for trading and can increase the possibility of profit-taking after a strong rally.
However, buyers have absorbed that extra supply without the price giving up its recent gains.
The balance suggested that demand remained healthy even as currency liquidity increased. The difference between rising reserves and continued price strength showed that positive conviction outweighed immediate selling pressure.
Nevertheless, continued reserve growth would remain worth monitoring, as additional foreign exchange inflows could ultimately slow the recovery if purchasing demand weakens.
Can AAVE finally reclaim the $100 barrier?
AAVE recovered from the June low near $60 and regained the $90 support level before advancing towards the key supply zone around $100.
The daily chart now shows a series of higher lows, highlighting a clear improvement in market structure after weeks of sustained selling.
Meanwhile, the Relative Strength Index (RSI) climbed to 69.22, placing it just below overbought territory and confirming that purchasing power has continued to increase.
The $100 area remains the main technical barrier as previous recovery attempts were rejected earlier this year.
A successful move above that level would expose the next resistance around $115. However, another rejection could promote near-term consolidation before buyers attempt another breakout.
Liquidity favors a new resistance test
The Liquidation Heatmap showed the largest concentration of liquidity around the $90 region, almost equal to AAVE’s trading price.
As long as buyers defended the $90 level, nearby liquidity could provide the basis for another advance into the heavier liquidation clusters between $95 and $100.
These overhead pools represent the next big liquidity target and closely align with the daily supply zone.
If buyers absorb the selling pressure in that region, the price could reach $100 before a breakout is initiated.
Failure to hold $90 would weaken that bullish structure and delay the next attempt higher.
Final summary
- Rising foreign exchange reserves increased sell-side liquidity, but buyers continued to defend the $90 support zone.
- AAVE is now testing major resistance, with $100 remaining the key breakout level to watch.