Coinspeaker
Aave V3.1 Launches to Enhance Protocol, AAVE Price Gains
Aave (AAVE), a top-tier decentralized financial (DeFi) platform that offers users access to interest on deposits and to borrow assets, has announced that Aave V3.1 is now live on all the supported networks. The Aave V3.1, which has been described as the largest value code upgrade for a DeFi liquidity protocol to date, will play a crucial role in enhancing the underlying infrastructure.
Furthermore, Aave V3.1 is an improved codebase across all the supported EVM markets with a total net asset of more than $21 billion.
The Aave protocol is available on BNB Chain, Polygon (MATIC), Avalanche (AVAX), Fantom (FTM), Optimism (OP), and Near (NEAR) network, among others.
With the Aave V3.1 live in all the supported EVM networks, users can rest assured of enhanced security, operational efficiency, and usability. Consequently, the Aave protocol can further compete with other DeFi lending protocols in the market amid the mainstream adoption of digital assets.
As of this report, the Aave protocol has facilitated a total of more than $8.7 billion in borrowed assets. With more than $13 billion in total value locked (TVL), the Aave community has grown to more than 163k members to date.
Aave community upgraded to an improved codebase across all EVM markets, totalling over 21B net assets.
This has been the largest value code upgrade for a DeFi liquidity protocol to date. https://t.co/6d4zKGOIuK
— Stani (@StaniKulechov) July 31, 2024
Impact on AAVE Price Action
The AAVE price has increased by nearly 14 percent in the past seven days to trade around $106.77 on Wednesday. The mid-cap altcoin, with a fully diluted valuation of about $1.7 billion and a daily average trading volume of around $157 million, has been forming a macro reversal pattern.
Furthermore, the Aave price against the US dollar has established a solid support level of around $72 since the beginning of this year. Additionally, Aave price has consistently closed the past four weeks above the 50 Moving Average (MA).
From a technical standpoint, AAVE price has successfully retested the bullish breakout of the multi-week falling logarithmic trend.
If the altcoin consistently closes above $104 in the coming weeks, the next major liquidity range is between $144 and $179, which coincides with the 1.618 and 2.618 daily Fibonacci extension.
The Aave bullish breakout in the near term will be triggered by the bullish rebound of the ETH/BTC pair, which will signal the onset of the much-anticipated altseason.
Market Picture
The DeFi industry has gradually awakened in recent months after an extended lull period fueled by the 2022 crypto bear market. As of this report, nearly $100 billion has been locked on different chains by the various DeFi protocols, up more than 100 percent since last October.
DeFi waking up again 👀✍️ pic.twitter.com/xrkQqCxGHE
— Token Terminal (@tokenterminal) July 31, 2024
The ongoing mainstream adoption of digital assets and Web3 protocols by institutional investors and retail traders has increased the need for further research and development. Moreover, the DeFi industry has become a soft spot for organized hackers to siphon users’ funds.
