Aave Price Up by 11.06% – Time to Buy AAVE?
Please note that we are not authorised to provide any investment advice. The content on this page is for information purposes only.
- Aave launched V3, the third version of its protocol.
- Aave Partners with The Brazil Central Bank.
- Permissioned DeFi platform, Aave Arc launched by Aave.
The broader crypto market is seeing a sharp decline. However, decentralized finance (DeFi) facing protocol Aave has demonstrated good growth, encouraging investors to buy AAVE.
Aave is a DeFi platform that enables crypto lending and borrowing. Its aim is to allow people to borrow and lend in approximately 20 cryptocurrencies, giving consumers more options.
AAVE Protocol Launches V3 Across Six Cryptocurrency Networks
DeFi lending platform Aave has released V3 – the third edition of its protocol. The latest version of Aave V3 addresses security, decentralization and capital efficiency issues that plagued the previous version.
Polygon, Fantom, Avalanche, Arbitrum, Optimism, and Harmony are currently running on Aave V3.
Also, aggregators such as ParaSwap and crypto portfolio tracker wallet providers are planning to implement Aave V3 compatibility.
The latest update to the DeFi lending platform makes it easier for customers to shift assets between blockchains and makes transactions cheaper. Users will have limited exposure to newly created “high-risk tokens,” with the ability to borrow specific quantities of these tokens.
This has led to an increase in Aave assets with a surge in the price of the ERC-20 token indicating a time to buy AAVE.
Aave Partners with The Brazil Central Bank
On March 3rd, the Brazilian Central Bank announced that it has chosen nine projects to advance in its challenge to design a Central Bank Digital Currency (CBDC). Aave is one of the initiatives.
Aave protocol allows users to lend their digital assets by creating a liquidity pool. Using smart contracts, users are given the requisite interest rate for lending and pay the stipulated amount for borrowing. This is done without the interference of any centralized body.
The fundamental goal of this challenge is to assess the technological feasibility of use cases for digital currency issued by the central bank.
Aave Launches Permissioned DeFi Platform Aave Arc
The protocol recently announced the launch of Aave Arc, a permissioned variant of the famous DeFi lending platform, Aave. Aave Arc was first introduced by Aave in July 2021. The platform is intended for institutions looking to legally participate in the DeFi sector.
Aave Arc enables select parties who have completed financial due diligence to automatically borrow and lend bitcoins to other such parties. It works in the same way as Aave’s core protocol, but only permitted parties are allowed to participate.
According to Fireblocks co-founder and CEO Michael Shaulov, the introduction of Aave Arc will enable the world’s greatest universities to begin participating in DeFi.
Aave’s Technical Analysis
At press time, the Aave’s price is trading at $153.74 and has climbed by 11.06% in the last 24hrs with a trading volume of $569 million. The price has risen by 31.29% in the past week.
The technical indicators of AAVE show a slightly bullish trend. The crypto asset is
now trading across the 23.6% Fibonacci retracement threshold of $152.9, which means AAVE will likely see support at that level and rise.
Aave’s asset is below the trendline, with a 50-hour Simple Moving Average (SMA) value of $153.5, indicating a bearish run right now. Although AAVE trends in bearish, all indicators point towards an upward trend for the digital asset.
The Moving average convergence and divergence (MACD) show the asset below the trendline, indicating a time to buy AAVE for investors.
The 50-hour exponential moving average (EMA) is below the trending line; this encourages
investors to buy AAVE at its current price of $153.75 and rise with the asset.
Buy AAVE at eToro from just $50 Now! 
