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Aave Price Forecast: “Aave Will Win” framework passes, fueling bullish sentiment

Source Fxstreet
  • Aave price rallies over 5% on Monday, erasing the previous week’s losses.
  • Stani Kulechov, AAVE’s founder and CEO, announces the landslide approval of the “Aave Will Win” proposal.
  • The proposal introduces a new revenue stream, directing application and product income outside the Aave Protocol to the DAO as additional revenue.

Aave (AAVE) price surges by over 5% on Monday, trading above $94, erasing the previous week’s losses. The bullish sentiment is boosted following the announcement of approval of the “Aave Will Win” proposal on Sunday. The proposal introduces a new revenue stream, strengthening the altcoin’s long-term outlook.

“Aave Will Win” framework boosts sentiment

Stani Kulechov, AAVE’s founder and CEO, announced on Sunday on his X account that the “Aave Will Win (AWW)” proposal has been officially approved.

Kulechov described the milestone as a defining moment for the protocol, stating, “Aave Will Win, the most important proposal in Aave’s history, just passed with a landslide.”

The AWW proposal introduces a new revenue stream, directing application and product income outside the Aave Protocol to the DAO as additional revenue. This covers Aave Pro, Aave.com, Aave App, Horizon Real World Assets (RWAs), and Aave Kit, all flowing back to the Decentralized Autonomous Organization (DAO) treasury.

“Aave V4’s reinvestment feature ensures that float capital in pools generates yield, creating additional revenue streams, similar to how Aave V4 Spokes open up new revenue opportunities,” said the founder.

The approval of this proposal marks a significant shift in Aave’s economic model, strengthening its long-term value proposition and reinforcing bullish sentiment among market participants, with AAVE price up over 5% on Monday.

Aave Price Forecast: AAVE near descending trendline

Aave price is trading above $94 on Monday, erasing the previous week’s losses. However, the price action keeps a bearish near-term tone, as price holds well beneath the 50-day, 100-day, and 200-day Exponential Moving Averages (EMAs) at $106.65, $124.87, and $156.32, respectively.

AAVE also remains capped below a descending trendline breakpoint at $97.51 and a nearby horizontal barrier at $100.97, while the Relative Strength Index (RSI) on the daily chart at 43 points to weak but not oversold momentum; the Moving Average Convergence Divergence (MACD) is marginally positive, hinting that any rebounds are likely corrective while the broader structure stays under these stacked resistances.

On the topside, initial resistance is now seen at the descending trendline near $97.51, followed by the psychological and horizontal cap at $100.97; above that, the 50-day EMA at $106.65 and the 100-day EMA at $124.87 come in ahead of the 23.6% Fibonacci retracement of the larger downswing at $132.01, with further barriers at $147.13 and the 200-day EMA at $156.32.

On the downside, the next notable structural floor emerges only near the prior swing anchor around $79.51, leaving the pair vulnerable to further slippage while it trades below the nearby cluster of resistance levels.

(The technical analysis of this story was written with the help of an AI tool.)

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