AAVE Price Hangs in Balance as $88 Support Level Faces the Test

A recent analysis on AAVE price suggests that $88 is a crucial level for the asset's momentum. If AAVE holds above this level, it could indicate a continued uptrend in the fourth quarter of the year. However, if the price drops below $88, it may signal a reversal in the market sentiment and lead to further selling pressure.

The analysis points out that the current support levels for AAVE are around $82-$85, which have been tested several times before. If these levels hold, it could be a sign of strength for the asset and potentially trigger a new round of buying interest.

On the other hand, if the price breaks below $88, it may lead to a squeeze on smart money investors who are currently holding onto their positions. This could result in a sharp decline in the asset's value as these investors rush to sell their holdings.