Aave reaches a milestone of 60 billion USD in net deposits! Price stabilizes at 265 USD, technical indicators suggest a key directional choice | AAVE price prediction

Despite experiencing a significant pullback, the price of the top DeFi lending protocol Aave (AAVE) shows signs of stabilization around $265. Meanwhile, its on-chain data has achieved a historic breakthrough - the net deposit amount has surpassed $60 billion for the first time, making it the first DeFi project to reach this milestone. Although the TVL surged by 45% to $34.9 billion and protocol revenue increased, market volume appears to be weak, with derivatives trading volume down by 19.3%. Technical analysis shows that AAVE is consolidating in a key support area, with a breakout above $280 or a drop below $250 determining its short-term direction. This article will provide an in-depth analysis combining on-chain milestones and AAVE price technical indicators.

▶ AAVE Sets Record: Net Deposits Surpass $60 Billion

According to the official announcement from Aave on August 6 on the X platform, the protocol has become the first DeFi project to surpass $60 billion in Net Deposits. Net Deposits refer to the difference between the total supplied assets and the total borrowed assets within the protocol, with a positive value indicating that the funds lent out exceed those borrowed, reflecting Capital Inflow and increased user confidence. Aave founder Stani Kulechov views this milestone as a strong proof of the rise in DeFi Adoption.

▶ Strong on-chain indicators: TVL surges 45%, developer toolkit released

The DeFi on-chain data platform (DeFiLlama) has confirmed this rise trend:

• Total Value Locked (TVL): Has surged over 45% since early July, jumping from $24 billion to $34.9 billion.
• Protocol Revenue: Network fees increased from $48 million in June to $65 million in July, driving revenue growth and highlighting the deepening of Lending Activity.
• Developer Ecosystem Construction: On August 6, Aave released the V3 Developer Toolkit, which includes React Hooks, SDK, and API, aimed at simplifying the deployment of Lending Vaults, supporting the protocol to provide lending strategies with customized risk settings, and promoting modular lending or yield generation.

▶ Market activity slows down: Volume declines but open interest suggests a trend reversal

Despite the bright performance on-chain, AAVE spot and derivatives trading volume appears cautious:

• 24-hour spot trading volume: down 13% to $297 million ( Data source: Coinglass).
• 24-hour derivatives trading volume: down 19.3% to $503.6 million.
• Open Interest: Increased by 4.1% to $561.9 million, suggesting that Leverage Positioning is quietly accumulating against a backdrop of light trading, often viewed as a precursor to a market shift.

▶ AAVE Price Technical Analysis: Key Support Level Consolidation, Direction Awaiting Decision

The AAVE price is currently consolidating near an important support area:

• Divergence of Indicator Signals：
  • MACD Indicator: Located at -9.31, in the Bearish Territory.
  • Relative Strength Index (RSI): Neutral value 43.3.
  • Moving Averages: The 100-day and 200-day Simple Moving Averages (SMA) remain in the buy zone; however, the 20-day, 30-day, and 50-day Exponential Moving Averages (EMA) mostly issue sell signals.
  • Momentum Indicator: Momentum has shifted bullish, but Awesome Oscillator and Stochastic RSI remain neutral.
• Key Position：
  • Support Level: Lower Bollinger Band is closely attached to the current price below, often providing local support during consolidation phases; stronger support is located in the range of 250-255 dollars.
  • Resistance Level: The 20-day EMA constitutes recent resistance.
• Potential Path:
  • Bullish Scenario: If AAVE can decisively break the $280 (i.e., 20-day EMA), it will open up space to test the next resistance zone of $310-315.
  • Bearish Scenario: If the key support zone at 250-255 USD is lost, the price may drop to the June low of 230 USD. If it breaks below the lower Bollinger Band and sell-side volume increases, downward pressure will intensify.

Conclusion: Milestones and Consolidation Coexist, Awaiting a Directional Breakthrough

Aave has reached a milestone of $60 billion in net deposits, fully demonstrating its attractiveness and user trust as a Leading DeFi Lending Protocol. The strong growth in on-chain data also confirms the protocol's activity. However, the AAVE price is currently at a critical crossroads in technical terms. The shrinking market volume and rising open interest create a subtle contrast, suggesting that a shift may be imminent. Investors need to closely monitor the defensive strength of the support area between $250 and $255, as well as the breakout situation at the resistance level of $280. These technical signals will guide the next phase of AAVE's trend. Against the backdrop of solid on-chain fundamentals, once the technical aspect confirms the direction, AAVE is expected to usher in a clearer trending market.

Analyst Viewpoint: Aave's on-chain milestone highlights the growth potential of DeFi, but the short-term price trend requires confirmation from the technical analysis. Pay attention to the support at $250-255 and the breakout at $280; the outcomes within this range will determine the medium to short-term direction of AAVE.