Aerodrome Finance Token AERO: Smart Money Investors Remain Bullish
The Aerodrome Finance token, known as AERO, is currently facing downward pressure for the third consecutive day. However, despite this trend, smart money investors are showing resilience and are continuing to accumulate AERO.
The price of Aerodrome (AERO) recently dropped to $0.8920, falling below this week’s high of $0.98. Despite this dip, the token is still trading approximately 205% higher than its lowest point in April of this year.
Third-party data indicates that smart money investors have been actively buying AERO, with purchases totaling $1.3 million in the past seven days. This brings their total holdings to over $16 million.
Whales, who are investors with significant holdings of a token, have also increased their AERO holdings by 18% in the last 30 days, bringing their total to 9.55 million tokens.
Despite the price fluctuations, AERO’s weekly network volume has seen a significant increase. DeFi Llama data shows that Aerodrome, the largest decentralized exchange on Base, processed over $4 billion in transactions this week, up from $2.6 billion in the previous week.
Furthermore, with the recent announcement of major changes to the Coinbase ecosystem, including the launch of The Base App (TBA) as a replacement to the Coinbase Wallet, AERO is expected to be one of the top trading platforms on the application. TBA will offer a comprehensive platform combining wallet services, trading, payments, social media, messaging, and mini-applications.
AERO Price Technical Analysis
Looking at the daily chart, it is evident that the AERO price has been on a bullish trend for the past three months, starting from its low of $0.2850 in April. The token has surged above the 50-day and 100-day Exponential Moving Averages, indicating bullish control. Additionally, it has formed an ascending channel and surpassed the 23.6% retracement level.
As a result, it is likely that the Aerodrome price will continue to rise, with bulls targeting the 50% retracement level at $1.3085, representing a 45% increase from the current level. However, there is a potential risk as the token has formed a rising wedge pattern, which could lead to some downside in the near term.