Aerodrome Finance (AERO) Price Holds at $1 Amid Declining Market

The decline in the Bitcoin price is impacting the altcoin market. Key points include:

  • Avalanche has dropped 8% over the past week.
  • HBAR decreased by 6.69%.
  • UNI fell by 10.37%.
  • Aerodrome Finance (AERO) is down 17.05% this week.

Aerodrome Finance struggles to maintain its position at the $1 mark, currently holding a market cap of $791 million after a 2.70% drop in 24 hours.

AERO Token Price Trends

The Aerodrome Finance price trend indicates a downward movement influenced by a resistance trend line, but support near the $1 psychological level remains strong. Technical indicators show potential for a bullish reversal with:

  • A double bottom pattern suggesting upward momentum.
  • A daily RSI indicating bullish divergence.
  • Resistance levels at $1.264 (61.8% Fibonacci) and $1.35 (double bottom neckline).

A breakout above these levels could lead towards a previous peak of $2.20, presenting an upside potential exceeding 100%. Conversely, a bearish breakdown may test support levels at $0.89 or $0.72.

Transaction Volumes and Holder Growth Signal Potential

Aerodrome Finance's transaction volume is around $10 million, over 50% higher than competing decentralized exchange (DEX) tokens. Additionally:

  • The number of AERO token holders is consistently increasing despite market volatility.
  • The market cap per active user stands at nearly $75k, indicating significant growth potential.

Conclusion

Aerodrome Finance must maintain support at the $1 mark to facilitate potential gains exceeding 100%. Failure to do so may result in further declines.