Aave Crypto: Whale Accumulates $2M AAVE As Price Breaks Out of Bull Flag

Key Insights

• A newly created wallet withdrew AAVE crypto tokens worth $1.97 million from the Binance exchange.
• AAVE price chart clearly broke out from the bullish flag pattern, indicating potential for an uptrend.
• Since April 2025, the Aave team has bought back over 190K AAVE, spending around $45+ million, but sitting at a $20+ million loss.

As the lending market continues to unlock more decentralized finance activities, Aave Protocol (AAVE) has been leading the way. The lending market capitalization has been increasing while prices have been declining, reflecting sentiment across the entire crypto market.

In its daily price analysis, AAVE crypto has been thriving, with a 7% gain over the last 24 hours. Its daily volume has also been impressive, rising 39% to $452 million.

The whales may have known about the market trend before the public did. Therefore, what were the facts about this altcoin?

AAVE Crypto News: Whale Intensifies Accumulation Process

Whales have been way more alert to the current market rally. It seems they started the accumulation process just before the breakout. According to Onchain Lens data, the wallet withdrew 17.39K AAVE crypto tokens worth more than $1.97 million from Binance’s CEX.

Historical data has shown that withdrawals from centralized exchanges (CEXs) have preceded price rallies. However, that was not confirmed, as the whale had yet to confirm the real motive behind this massive buy.

Since whales intensified their accumulation just before the breakout, they were behind this surge. That said, where was AAVE crypto price headed, especially after the bearish invalidation?

What’s Next as AAVE Price Breaks Out of Bullish Flag?

On the 4-hour charts, AAVE crypto price broke above the descending trend channel after breaching the upper resistance. The lending protocol’s native token had been in this channel since mid-February.

Looking at the initial move before this channel pattern, it indicated the consolidation was a bullish flag. This prompted the market that AAVE price was about to continue its uptrend that started around the $104 level.

However, for the pattern to remain valid for continuation, AAVE crypto price needed to stay above this pattern. That put $131, which aligned with the channel’s peak, as the next target if bulls continue accumulating.

Still, on this path toward $131, there were minor resistance hurdles to be overcome. These resistance levels sat between $125 and $135. The levels marked pivot points as AAVE navigated through the channel.

On the other hand, AAVE’s failure to stay above the consolidation could invalidate this continuation. That would increase the chance of a drop to where the rally started at the $104 zone.

With whales backing the recent price rebound, the current trend could indicate that AAVE price has hit a bottom of its bear market. However, that was different when looking at the buyback program.

Aave Crypto Team Buyback Program Facing Significant Loss

Despite the Aave Protocol team’s buyback program reducing the circulating supply, the initiative has not been profitable, at least for now. This is because the cumulative AAVE buybacks were incurring a loss of over $20 million after acquiring them for around $45 million.

The team had acquired 194.4K AAVE crypto tokens since the buyback program began in April last year, according to TokenLogic data. The amount is the same as the requested capital to develop six other products to expand the team’s DeFi activities.

In conclusion, the accumulation of the whale is positive for the price action, potentially saving the amount spent on the buyback program. However, it is essential to watch the price action at the top to determine the next move.

The post Aave Crypto: Whale Accumulates $2M AAVE As Price Breaks Out of Bull Flag appeared first on The Market Periodical.