Technical analysis by BKVIP about Symbol AAVE: Buy recommendation (12/27/2025)

AAVE is reacting from the higher-timeframe demand zone highlighted earlier this week, with price respecting the area exactly as anticipated. After a prolonged pullback, selling pressure weakened upon entry into demand. Downside momentum stalled, wicks showed absorption, and price began to stabilize instead of extending lower. This confirms that buyers are still active in this zone. This is not an immediate trend reversal signal, but a textbook demand reaction. As long as price holds above this area, the probability favors consolidation or a gradual push toward the next resistance. A clean loss of demand would invalidate the setup and reopen downside risk. Once again, price respected structure before making its next move.