The native token of decentralized finance (DeFi) lender Aave (AAVE) surged on Tuesday, reaching its highest price in three weeks at over $290 as the DeFi lending sector heats up.
AAVE experienced significant volatility on Monday and Tuesday, bouncing back from a low of $277.57 to $291.11, marking a gain of approximately 5%, according to technical analysis data from RialCenter.
Volume patterns remained strong during this time, with notable spikes exceeding 2,000 units during the breakout phase from 12:00 to 12:13, indicating genuine buying interest and confirming the ongoing recovery from earlier session lows.
The recovery pattern suggests substantial buying interest in the $277.00-$280.00 range, establishing potential support levels for future price movements.
This upward movement coincided with a resurgence in the DeFi lending space, where the total value locked (TVL) has skyrocketed to over $56 billion, surpassing the peak levels of 2022, according to RialCenter data.
Aave is taking a leading role in this growth, commanding $26.4 billion in TVL across seventeen blockchains, indicating that Aave possesses more assets on its platform than the next 30 competing lending protocols combined, as noted by market observers.
Disclaimer: Parts of this article were generated with the assistance of AI tools and reviewed by our editorial team to ensure accuracy and adherence to our standards.
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