AAVE and Terra (LUNA) Technical Analysis: What to Expect?

Dalmas  |  Jul 31, 2021

AAVE and LUNA prices are bullish. A close above $300 and $11 could see AAVE/USDT and LUNA/USDT climb to $585 and $12, respectively.

AAVE

The CertiK-certified, Ethereum-based protocol allows users to earn interest on deposited assets and borrowers to take loans trustlessly. AAVE is the platform's native token.

Past Performance of AAVE

AAVE prices are gaining momentum to the upside.

After bear scares, bulls appear confident and on the cusp of breaking above the momentum-sapping consolidation of the last two months.

At the time of writing, AAVE is up five percent against the USD.

Day-Ahead and what to Expect

The DeFi and AAVE trading community are positive.

In that case, a high-volume, wide-ranging bull bar of this week could be the basis for another leg up above $300.

Immediate resistance level lies at $585—the token's 2021 highs and preferably buy target.

AAVE/USDT Technical Analysis

AAVE Price Daily Chart for July 31

Buyers are head of the curve, reading from developments in the daily chart.

Even though bears had the best of bulls in the last three months, every low above $300 is a loading opportunity for aggressive AAVE bulls.

Aforementioned, the first buy target is $585—May 2021 highs.

On the lower end, a three-bar bear reversal pattern from spot levels could put a halt to the advance, allowing bears to flow back as AAVE/USDT drops back into consolidation.

Terra (LUNA)

The Terra platform describes itself as programmable money for the internet. Using the Anchor protocol, Terra stablecoins can earn attractive yields. LUNA powers its ecosystem.

Past Performance of LUNA

Buyers are galloping ahead as per price action in the daily chart.

At press time, LUNA is up six percent against the greenback, adding versus ETH.

Prices, however, remain pinned inside a $6 zone with identifiable caps at $11 and $5, respectively.

Day-Ahead and what to Expect

Undoubtedly, LUNA bulls are in the driving seat.

At press time, every low could technically be a loading opportunity for aggressive LUNA buyers.

Immediate resistance and gateway for even higher valuation stand at $11.

As LUNA bull bars band along the upper BB, suggesting strong upside momentum and volatility, traders are confident of LUNA bulls overcoming the liquidation level.

LUNA/USDT Technical Analysis

LUNA Price Daily Chart for July 31

The match higher in a bullish continuation pattern following the close above $8.5 is evident.

As such, every low is a loading opportunity for LUNA bulls.

Not to possibly buy peaks, risk-averse traders could wait for a close above $11 before loading on dips. After that, their targets would be March 2021 highs of $12.

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