Aave Tests $176 as Deposits Near $3.8 Trillion and Legal Structure Proposed

Aave's price has recently pulled back from its high of approximately $188, testing the breakout level around $176. After briefly surpassing $176, the token retreated to $180.51, maintaining its position above previous resistance. Holding above $176 is crucial for preserving the bullish structure, as a drop below this level could expose the next support zone between $156 and $158.

The overall trend for Aave remains bullish, with each breakout successfully retesting previous levels. The Relative Strength Index (RSI) stands near 68, indicating strong momentum without entering overbought territory. The rising trendline, which has connected lower highs since September 16, when the token bottomed near $111, continues to suggest an upward bias.

Beyond price action, Aave has seen significant growth in deposits, reaching nearly $4 trillion. The cumulative deposits grew slowly in 2021, accelerated in late 2022, and then slowed in 2023, reaching $1 trillion. However, in 2024, deposits surged again, crossing $2 trillion and then $3 trillion. By mid-2026, cumulative deposits exceeded $3.8 trillion, highlighting the platform's expanding scale and competitive advantage in the lending market.

Aave is also transitioning to a new ownership structure, proposing the creation of a legal entity to manage core assets. A foundation will hold all intellectual property, though token holders will not directly acquire ownership of trademarks or domain names. The Phase 1 vote will establish this framework without transferring existing assets, allowing for future ownership transfers without immediate impacts.