Aave Price Dives to Near $90 Amid Protocol Restructuring

Aave's price has slipped to near $90 after a nearly 8% drop over the past week, as sellers pressed following a sharp protocol shake-up. The asset is now holding near support at $90.07 amid mixed momentum signals and oversold levels on short-term oscillators.

The protocol restructuring and criticism of EIP-8361 by founder Stani Kulechov have reshaped weekly sentiment. Aave began restructuring its protocol this week, with governance proposals to close deployments on six lower-activity blockchains and remove several underused asset markets.

The affected blockchains together hold about $98.1 million in user deposits and $15.6 million in debt, representing less than 1% of total deposits, as Aave shifts focus toward higher-volume networks and institutional offerings.