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Aave Price Prediction 2022-2031: Is AAVE a Good Investment?

Aave Price Prediction 2022-2031

A proposal to reward members of the Aave Companies with $16.28 million in retroactive funding for the development of v3 of the Aave Protocol looks set to pass. Although the token has not shown gains YTD, its monthly performance is bullish, driven by the launch of the Aave V3 update. Going through AAVE price prediction can help you make a life-changing move.

Another exciting announcement is that banking giant JP Morgan Chase completed its first DeFi transaction with the help of the Aave platform. This news indicates that legacy financial institutions are embracing crypto and decentralized finance (DeFi).

Depositors provide liquidity to the market to earn a passive income, while borrowers can borrow cryptocurrencies in exchange for paying a variable interest rate. Lenders get paid at a certain interest and those who borrow pay interest on the crypto coins. However, if you want to trade, you need to know what the market says.

Why is Aave’s price climbing? Users can stake the locked-up Aave tokens and share protocol fees, leading to its higher demand. The protocol fees reduce Aave token supply to further drive demand, leading to a price increase for Aave tokens.

Today’s Aave price is $58.30 with a 24-hour trading volume of $105,217,318. Aave is down 0.57% in the last 24 hours. The current CoinMarketCap ranking is #50, with a live market cap of $821,702,622. It has a circulating supply of 14,093,193 AAVE coins and a max. supply of 16,000,000 AAVE coins.

Let’s take a closer look at the circumstances of the coin before diving into AAVE price prediction in trying to determine whether it should be part of our crypto portfolio.

What’s AAVE?

Aave is simply an Ethereum-based money market where users can borrow and lend various digital assets, from stablecoins to altcoins. Aave (AAVE) is also the native cryptocurrency of the Aave platform: a decentralized finance (DeFi) platform where users can borrow a range of cryptocurrencies and lend assets in exchange for interest payments, all without needing an intermediary.

Decentralized lending system

Users of AAVE now require a traditional financial institution to manage their money. They need to trust the code used to write the program, and they won’t be disappointed. If you’re wondering about AAVE, it’s an acronym for African American Vernacular English. No matter, know that among several emerging DeFi cryptocurrencies, Aave is a decentralized lending system that allows users to lend, borrow, and earn interest on crypto assets without intermediaries.

The AAVE software allows a lending pool capable of lending or borrowing up to 17 different crypto coins, some of which include ETH, BAT, and MANA. And just like other DeFi systems, if you want to borrow AAVE, you need first to deposit collateral. The equivalent of whatever you post is what will be given to you as a loan. The borrower then collects the funds as a unique token called aToken. The aToken is assigned the worth of another asset and then encoded so that lenders receive interest when they deposit.

5th highest TVL

Aave, along with the likes of Uniswap (UNI), Compound (COMP) and Curve, is considered one of Ethereum’s blue-chip DeFi protocols. Aave is also deployed on layer-1 network Avalanche (AVAX) and Ethereum’s layer 2 protocol Polygon (MATIC). 

According to DeFi total value locked (TVL) aggregator DefiiLlama, the Aave protocol has the fifth highest TVL across all blockchain at $14.3bn, as of 4 April. Aave protocol is currently the top DeFi platform in terms of TVL on Avalanche and Polygon.

AAVE Founder

Source: Bing images

AAVE was developed by Stani Kulechov in 2017. Stani hails from Finland, and he is a programmer and an entrepreneur. He started the AAVE cryptocurrency. He is majorly into cryptocurrency, blockchain, and fintech.

He graduated with a Law Master’s degree in 2018. He graduated from the University of Helsinki. While at the university, he worked as a Trainee at a Law Firm named Castrén and Snellman between January and May 2017. He was still a trainee between August and November of the same year at Bird and Bird. He then became a Member of the Legal Aid Committee of the Law Students Association of Pykäläry.

While he was at the university for his Master’s, finance struck his interest, becoming involved with FinTech. The concepts of smart contracts and the Ethereum blockchain became appealing to him, and he was motivated to develop a decentralized financial system.

AAVE’s Price History

ETHLend started in 2017 as a peer-to-peer digital asset lending and borrowing platform. It generated $16.2 million during an initial coin offering (ICO). During the same ICO that 1 billion units of LEND coins were sold, with 300 million reserved for the AAVE team.

ETHLend was given a new name in 2018, AAVE, with ETHLend becoming a subsidiary. Note that AAVE means ghost in Finnish. In January 2020, the protocol officially went live on the Ethereum mainnet. By August of the same year, the AAVE token rose to be the second DeFi protocol to get to $ 1 billion in total value locked, with MakerDao being the first.

In the same month (August), AAVE was awarded an EMI (Electronic Money Institution) license by the FCA, which saw LEND rapidly rise by 30% to a new ATH at the time. Around the same time, a second version of the AAVE protocol was announced and was released on 3 December of the same year. Other features were reported simultaneously, involving a trading desk, a game studio, and a payment system.

Aave’s proposal to upgrade its protocol was passed unanimously by its community. Following Aave v3’s mainnet launch on 16 March, AAVE token surged as much as 114% to a near three-month high of $261.29 hit on 1 April 2022.

Aave Price Prediction 2022-2031: Is AAVE a Good Investment? 2

Where to buy AAVE?

Steps to Buy Aave

Step 1 – Open an Online Account. The 1st step to buying Aave begins with opening an account with an exchange that supports Aave. …

Step 2 – Buy a Wallet (Optional). After deciding where you want to purchase Aave and opening your account, you can open a wallet to store your tokens safely.

Step 3 – Make Your Purchase.

Crypto.com App users can now purchase AAVE at true cost with USD, EUR, GBP, and 20+ fiat currencies and spend it at over 60M merchants globally using the Crypto.com Visa Card. 

Coinbase customers can now buy, sell, convert, send, receive, or store AAVE, in all Coinbase-supported regions, except New York State. Same steps as on top. 

AAVE Latest Developments

The Aave DAO gave the development team the green light to launch its decentralized stablecoin GHO. Aave users will mint the stablecoin against their collateral on the platform. The proposal for a stablecoin was made on 7 July 2022 by Aave Companies (development team of Aave protocol) for the launch of GHO, an overcollateralized and US dollar-pegged stablecoin. Upon due consideration by the Aave community, 12 votes were against the proposal, while 17 abstained; the proposal received 99.9% approval from the community, which committed over 500,000 AAVE tokens. The approved proposal also included that Aave V2 on Ethereum will be the first facilitator for GHO. Ethereum will enable to provide liquidity by generating and burning GHO tokens when needed.

The community has given the greenlight 🟢 for GHO 👻 The next step is voting on the genesis parameters of GHO, look out for a proposal next week on the governance forum https://t.co/ba4oK50Wb8

— Aave (@AaveAave) July 31, 2022

Further discussions on GHO are ongoing on the Aave governance forum.

Aave Technical Analysis

The Aave coin price has been trading sideways for the last 2 months and has lost 60% of its value from the year’s high. 

The MACD histogram indicates decreasing Aave price momentum to the upside; the MACD line is moving along the signal line, suggesting a period of uncertainty. The William alligator trend lines suggest the Aave value will continue sideways. The reactive strength index shows Aave is not in oversold/overbought territory, with plenty of room for price movement.

Aave Price Prediction 2022-2031: Is AAVE a Good Investment? 3

Aave Price Prediction by Cryptopolitan

According to our latest long-term AAVE price prediction, AAVE price will hit $100 by 2022 and then $200 by the middle of 2024. AAVE will rise to an average of $600 within 2027 and $2800 in 2031. Let’s take a look at year-to-year price predictions until 2031.

Aave Price Prediction 2022-2031: Is AAVE a Good Investment? 4
Aave Price Prediction 2022-2031: Is AAVE a Good Investment? 5

Aave Price Prediction 2022

Aave coin’s price prediction for 2022 is a maximum price of $108.57 with a minimum price of $98.83. The average token price is predicted to be $102.67 by December 2022. 

Aave Price Prediction 2023

Our Aave price prediction for 2023 could be a maximum price of $173.64. The minimum price is $98.83, and the average trading price of the coin is predicted to be $102.67. 

Aave Price Prediction 2024 

Our Aave price prediction for 2024 is a maximum price of $246.49 Aave’s minimum price is predicted to be $205.15 and an average price of $212.54. 

Aave Price Prediction 2025

Our Aave price prediction for 2025 is a maximum price of $355.22. The coin’s lowest price is expected to be $297.35, and the average trading price of the coin is $305.86. 

Aave Price Prediction 2026

Our Aave price prediction for 2026 is a maximum of $519.67. The minimum price the coin will have by the end of 2026 will be $427.87, while its average trading price is expected to be $440.10. 

Aave Price Prediction 2027

Our Aave token price prediction for 2027 is a maximum price of $726.36 with a minimum price of $587.15. We also expect the coin’s average trading price to be $609.16.

Aave Price Prediction 2028

Our Aave coin price prediction for 2028 is a maximum price of $1,009.12. The minimum price of the coin by 2028 is expected to be $863.35; the average trading price of the coin is forecasted to be $893.80.

Aave Price Prediction 2029

Our Aave price prediction for 2029 is a maximum price of $1,491.65 with an average trading price of $1,298.60. The coin is expected to have the lowest price at $1,253.91.

Aave Price Prediction 2030

Our Aave cryptocurrency prediction for 2030 is a maximum price of $2,199.63; the coin’s lowest price is $1,816.48. The average trading price of the coin is expected to be $1,868.42. 

Aave Price Prediction 2031

Aave’s price prediction for 2031 is a maximum trading price of $3,145.27, with an average trading price of $2,794.99. The minimum price of the coin is expected to be $2,720.25. 

Aave price prediction by Wallet Investor

Wallet Investor uses Artificial intelligence (AI) and machine learning to provide the Aave price forecast. The AI indicates Aave’s past performance index rating as A+; it adds that Aave would make a bad one-year investment. The expected average price then will be $8.863. Aave’s return on investment (ROI) will be -89.19% in 2023. In 2024 the ROI will be -84.02%; in 2025, it will be -61.83%; in 2026, it will be -64.69%. According to the analysis, the Aave price bearish trend continues over the entire period.

Aave Price Prediction by CryptoPredictions

The site scans a given coin’s exchange rates and other historical market data and uses these data to provide a future Aave price prediction. Aave’s price will rise to $86.787 in December.

Their Aave price forecasts for 2023 are $87.192 in January and $112.271 in December.

In 2024, Aave will trade at an average price of $115.776 in January and $153.448 in December. In 2025, Aave will trade at an average price of $156.667 in January and $187.597 in December

Aave Price Prediction by DigitalCoin Price

Aave cryptocurrency has traded sideways for the last 1 month. Aave’s price will go up to $100.31 in December. Aave will be on a bullish trend from 2022 to 2031; the maximum value of Aave for the entire period will be $582.20. In 2023 it will trade at a mean price of $136.40. It will reach a maximum price of $149.29 and a minimum of $122.28. In 2025, it will trade at a mean price of $219.14. It will reach a maximum price of $232.64 and a minimum of $199.41. In 2030 it will trade at a mean price of $456.52. It will reach a maximum price of $472.67 and a minimum of $436.58.

Aave Price Predictions by Industry Influencers

Jacob Crypto Bury Crypto Youtube channel’s latest update on Aave suggests that the coin has high upside potential with the next price target at $115. The presenter highlights the moment Jpmorgan transacted on the public blockchain using a modified version of the Aave protocol on the Polygon network. Aave forecast for 2025 is $1,052 derived from using a Fibonacci extension.

YouTube video

More Crypto Online Youtube channel’s latest update on Aave suggests that the coin has potential to the upside as the crypto winter ends. The presenter analyses the Aave performance and forecasts using the Elliot waves indicator. 

He comments that if Aave breaks the $80 resistance, it will surge to $88 before a shallow retracement and move higher in wave 5 to the $92 mark. The $92 mark, however, is not guaranteed. Fibonacci retracement suggests that a future reversal will send Aave to $78.6.

The opposite could also be true if Aave breaks the $60 support and drops lower. The chart will unlock bearish potential in such a scenario, and any upward price movement will be unlikely.

Highlighting its price correlation with Bitcoin, which he expects a bullish harmonic reversal. From 

YouTube video

More Crypto Youtube Channel’s latest update on Aave uses the Elliot waves and Fibonacci indicators to predict future price movements. The update suggests a critical support level at $60 which, when breached, will send Aave tumbling; however, if it holds, Aave could surge to the $173 level in a Wave 3 formation.

YouTube video

Conclusion 

The Aave ecosystem has continued to draw investors since its launch with a growing community and the earning opportunities it provides investors by enabling them to lend, borrow, and earn interest on crypto assets without intermediaries. Defi projects like Aave are also prone to attacks by bad actors who take advantage of vulnerabilities in the system.

Exploits on Defi protocols this year have resulted in the loss of millions of investor funds; while Aave has not been attacked, blockchain bridges threaten the Aave platform’s security. The price of Aave is anticipated to continue rising into the future.

The Aave ecosystem has continued to draw investors who use the platform to explore opportunities its ecosystem presents, including Defi, DAO, and NFTs. Through the protocol’s latest update, users can now log on to some of the hottest opportunities within the Aave ecosystem. 

The proposal to deploy Aave on zkSync 2.0 passed, and the integration of their open-sourced liquidity protocol will ensure the safety and scalability of Defi protocols. JP Morgan transacted on a public blockchain using Aave smart contracts is a huge milestone for DeFi representing a massive step towards bringing traditional financial assets into DeFi.

You can buy Aave on top-tier crypto markets like Binance, Huobi global, and Coinbase.

This guide has given you an exhaustive analysis of Aave’s future price trends; however, always seek a second opinion from a financial advisor before investing in the crypto markets. 

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

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