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AAVE/USDT – Major Downtrend, Breakout or Another Rejection?
AAVE/USDT – Major Downtrend, Breakout or Another Rejection?
AAVEUSDT SPOT BYBIT:AAVEUSDT
On the daily timeframe, AAVE/USDT is still moving within a bearish market structure, with consistent selling pressure since the price peaked near the 385 USDT area. Price is currently trading below a descending trendline, which acts as a major dynamic resistance. As long as price remains below this trendline, sellers remain in control.
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Chart Pattern (Pattern Explanation)
AAVE is forming a Descending Trendline (Bearish Structure), characterized by:
A series of lower highs since September
Multiple rejections along the descending trendline
Upward moves that appear corrective rather than impulsive
This pattern indicates that every rally is still considered a pullback unless a confirmed breakout occurs.
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Key Levels
Resistance Levels:
182 USDT (minor resistance / rejection area)
203 USDT (mid resistance)
232 USDT (strong resistance)
260 USDT
298 USDT
358 USDT (major resistance & previous high)
Support Levels:
158 USDT (nearest support)
146 USDT (key support)
134 USDT (critical support, potential continuation to the downside)
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Bullish Scenario
The bullish scenario becomes valid if:
Price breaks above and closes above the descending trendline
Followed by a successful break and hold above 182 – 203 USDT
Bullish targets:
203 USDT
232 USDT
260 USDT
298 USDT (extension target if momentum strengthens)
A valid breakout could signal the end of the bearish structure and open the door for a medium-term trend reversal.
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Bearish Scenario
The bearish scenario remains dominant if:
Price gets rejected again at the descending trendline
Fails to reclaim the 182 USDT area
Breaks down below the 158 USDT support
Bearish targets:
146 USDT
134 USDT
A breakdown below 134 USDT would strengthen the case for a bearish continuation with increased selling pressure.
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Conclusion
AAVE/USDT remains in a bearish trend, with the descending trendline acting as the key decision zone.
Trendline breakout → potential reversal
Rejection → bearish continuation
Waiting for clear confirmation is crucial before entering any position, supported by proper risk management.
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source https://www.tradingview.com/chart/AAVEUSDT/FiB3w407-AAVE-USDT-Major-Downtrend-Breakout-or-Another-Rejection/
source https://www.cryptomadden.com/2026/01/aaveusdt-major-downtrend-breakout-or.html
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