AAVE is up 11% weekly and 80% in 30 days, trading around $255-260
Total Value Locked (TVL) has doubled to $115 billion, representing 20% of DeFi market
Aave V3 protocol launched on Aptos on May 19, marking first non-EVM blockchain integration
Trading volume surged 90% to $1.84 billion after Aptos announcement
Technical indicators show bullish momentum with price above key moving averages
AAVE, the native token of the leading DeFi lending protocol, has seen remarkable price growth recently. Trading between $255 and $260 as of May 21, 2025, AAVE has gained approximately 11% over the past week and an impressive 80% over the last 30 days, according to CoinMarketCap data.
This rally comes as part of a broader DeFi recovery, with Ethereum up 60% in the same timeframe.
In the last 24 hours, the price has dipped about 3-5% as investors lock in profits. Despite this minor correction, AAVE’s performance has outpaced many other altcoins, reflecting growing demand for DeFi lending services.
The strong price movement coincides with heavy trading activity. Current 24-hour trading volumes hover around $475 million, remaining elevated compared to historical averages.
Short liquidations increased as prices moved higher, indicating bearish positions were forced out during the rally – a sign of continued upward pressure.
Record TVL Growth
Aave’s ecosystem is experiencing explosive growth in locked assets. According to DeFiLlama, Aave’s Total Value Locked recently topped $24-25 billion, making it the largest single DeFi protocol by TVL.
On-chain analytics from Sealaunch show Aave’s TVL has jumped roughly 3.6 times since January 2024, rising from about $6.6 billion then to $23.8 billion now.
During this same period, total DeFi TVL has roughly doubled from $56 billion to $115 billion between January 2024 and May 2025.
This growth has boosted Aave’s market share of DeFi TVL from 11% to 20% over that period. These numbers highlight strong adoption of Aave’s lending markets across Ethereum and Layer-2 chains.
The protocol recently recorded over $10 billion of active loans, demonstrating its real-world utility and growing usage.
A key catalyst for recent growth was Aave’s May 19 deployment of its V3 protocol on Aptos – its first launch on a non-EVM blockchain. This Aptos integration “marks a new era for cross-chain crypto lending” and has already boosted activity.
Derivatives data from CoinGlass shows a 42% jump in Aave open interest (to $576 million) immediately after the Aptos announcement. Trading volume likewise surged – up 90% to $1.84 billion during the rally.
These on-chain flows suggest many traders and users are rotating into Aave following the Aptos integration. The protocol’s expansion beyond Ethereum appears to have widened its reach and fueled user interest.
Technical Analysis
AAVE remains in a strong uptrend from a technical perspective. The price is trading well above its main moving averages.
The 200-day EMA is around $200 and the 10-day EMA/SMA is near $237. With prices between $255-260, AAVE is trading above both short and long-term averages, a classic bullish signal.
Momentum indicators also support the uptrend. The Relative Strength Index (RSI) is approximately 71.2, placing it in overbought territory. The MACD has turned positive, further confirming bullish momentum.
However, some caution may be warranted due to the high RSI reading, which suggests short-term overbought conditions.
The 20-day SMA at $214 serves as near-term support, with resistance flagged near $270 as the next hurdle. A decisive break above $270-280 would be needed to maintain bullish momentum.
Aave is also expanding its asset menu. The team is discussing new collateral types, including Uniswap V4 LP tokens and the BNB-based Soneium token.
Integrating these assets would allow users to borrow against liquidity positions from Uniswap v4 pools and the Binance ecosystem, enhancing the protocol’s utility.
This planned collateral expansion highlights Aave’s ongoing development and could attract more liquidity and borrowers once implemented.
As of writing, AAVE is trading at $251, down 5% over the past 24 hours following a brief price correction.
This articles is written by : Nermeen Nabil Khear Abdelmalak
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