Will AAVE price drop to $77 as $100 flips from support to resistance?

AAVE price is testing the $100 level, which has transitioned from a support floor to a resistance ceiling following a sharp weekly breakdown. Technical indicators including a red 4H Supertrend and deeply negative MACD histogram suggest further downside pressure, with $77 identified as a potential target level.

AAVE's price action around $100 represents a critical inflection point in the token's recent trading range. The shift from support to resistance indicates a fundamental change in market sentiment, where buyers who previously defended this level have ceded control to sellers. This dynamic typically precedes further downside as the psychological barrier transforms into a ceiling that caps recovery attempts.

The technical setup underscores bearish momentum. A red 4H Supertrend signals a deteriorating short-term trend, while a deeply negative MACD histogram confirms selling pressure exceeds buying interest. These indicators rarely align bearishly without subsequent price movement validating the weakness. The identification of $77 as a downside target implies approximately 23% further depreciation from current levels, suggesting the breakdown is in early stages.

For AAVE holders and DeFi protocol users, sustained weakness carries implications beyond price. Lower token prices reduce governance power concentration and can impact protocol incentive structures. Traders monitoring this level need to recognize that failed support-to-resistance flips often trigger stop-loss cascades, accelerating declines as algorithmic and retail liquidations compound selling pressure.

The path forward depends on whether AAVE establishes a new support level before reaching $77, or if technical capitulation occurs closer to current prices. Watch for volume profile and order flow around $90-95 as intermediate support zones that could stabilize momentum before a deeper correction materializes.

• →AAVE's $100 level has flipped from support to resistance following a sharp breakdown this week
• →Red 4H Supertrend and deeply negative MACD histogram indicate continued downside momentum
• →Technical analysis suggests a potential target of $77, implying 23% further downside risk
• →The support-to-resistance flip typically precedes accelerated declines as stop-losses trigger
• →DeFi protocol users face reduced governance power and protocol incentive implications if weakness persists