AAVE has surged past $300 for the first time in over three years, fueled by increased activity among key stakeholders.
This rally comes amid a broader altcoin resurgence and highlights a significant drop in AAVE’s “Mean Dollar Invested Age.” This metric, which measures the average age of invested tokens, indicates that large holders are moving previously dormant tokens back into circulation. Such movements often signal bullish momentum for the asset.
Supporting this trend, 30-day and 365-day active traders of AAVE are posting impressive average returns of +33% and +109%, respectively. However, this also suggests heightened risk, as cryptocurrency remains a zero-sum game, where gains for some are offset by losses for others.
📈 As several altcoins grow today, AAVE has erupted to a market value of over $300 for the first time in over 3 years. Pay attention to projects that have massive drops in "Mean Dollar Invested Age" like AAVE. This indicates major key stakeholders are moving previously stagnant… pic.twitter.com/VmywKxRTzh
— Santiment (@santimentfeed) December 11, 2024
Market watchers speculate that if whales continue to circulate older tokens, the rally could gain further momentum. However, caution remains, as any slowdown in whale activity could lead to a sharp retracement.
Adding to the bullish sentiment, Donald Trump’s World Liberty Financial (@worldlibertyfi) fund has been actively accumulating AAVE and Chainlink (LINK). Within the last five hours alone, the fund purchased 37,052 LINK (worth $1 million) and 685.4 AAVE (worth $247,000).
In total, World Liberty Financial has spent $2 million to acquire 78,387 LINK at an average price of $25.51, now up by $232,000 (+11.6%). For AAVE, the fund has invested $1.25 million to buy 4,043 tokens at an average price of $308.40, with unrealized gains of $217,000 (+17.4%).
As altcoins like AAVE gain traction, investors remain focused on whale activity, which could determine whether this rally extends further or slows down in the coming days.
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
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