Aave is a robust DeFi protocol ranked 11 in the list of top DeFi tokens by market capitalization, according to CoinMarketCap as of 4 April 2022. Although the token has not shown gains YTD, its monthly performance is bullish, driven by the launch of Aave V3 update.
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 interests on the crypto coins. However, if you want to trade, you need to know what the market says.
Today’s Aave price is $75.33 with a 24-hour trading volume of $268,395,022 USD. Aave is down 5.98% in the last 24 hours. The current CoinMarketCap ranking is #45, with a live market cap of $1,048,298,966. It has a circulating supply of 13,915,774 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, all 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 interests 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 Overview
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 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 $1billion 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.
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 for New York State. Same steps as on top.
Aave Technical Analysis
Aave has been on a bear run this year; the William Alligator trend lines are flattening out due to low price action. The MACD histograms indicate decreasing price momentum to the upside, with the RSI showing no indication of a price reversal.
Aave Price Predictions by Authority Sites
Walletinvestor
The site uses machine learning and artificial intelligence (AI) to provide the Aave price forecast. The AI rates Aave historical data index A and comments that it would make a bad investment. The Aave cryptocurrency value will drop by 64.63% from the current price to $27.348. Aave’s price will be upward for the next two weeks, rising from the current price to $79.758. The ROI will drop to -78.83% in 2024 before rising to -32.38% in 2025, 23.7% in 2026, and -43.27% in 2027. Aave will not be a profitable investment.
TradingBeasts
The site uses linear and polynomial regressions to analyze and collect historical data to provide the Aave price forecast. The Aave average trading price will rise to $82.543 in August and be at $83.564 by December. In 2023, the Aave average forecast price will rise from $84.493 in January to $108.946 in December. In 2024, the Aave average price will rise from $111.914 in January to $142.979 in December. In 2025, the Aave average price will rise from $145.614 in January to $171.009 in December. From the analysis, Aave will maintain a bullish trend from 2023 to 2025.
Digitalcoin Price
The Aave coin’s average trading value is down over 70% this year. The site indicates the Aave forecast for August as 91.07 and will sell the highest this year in October at $92.30. In 2023, the Aave tokens will sell at an average price of $137.38. It will reach a maximum price of $162.56 and a minimum price of $132.61. In 2025, Aave will sell at an average price level of $290.02. It will reach a maximum price of $36.06 and a minimum price of $282.19. In 2031, Aave will sell at an average price of $3,094.83. It will reach a maximum price of $3,586.83 and a minimum price of $3,010.46.
Cryptopolitan
Aave Price Prediction 2022
Aave coin price prediction for 2022 is $95.47. The Aave ecosystem recently announced its plans for GHO, a decentralized, over-collateralized stablecoin. GHO will be native to Aave, with plans to extend it throughout the Aave ecosystem. Favorable market conditions will push Aave to a high price of $108.04 and a low price of $91.67.
Aave Price Prediction 2023
Aave coin price prediction for 2023 is $137.38. Over $9 billion worth of crypto is locked in the Aave ecosystem, with the value growing daily. The high liquidity on the platform proves the stability of the Aave ecosystem. Aave value in the crypto market will reach a high price of $12.56 and a low price of $132.61.
Aave Price Prediction 2024
Aave coin price prediction for 2024 is $195.78. The Aave protocol allows users to borrow crypto while providing collateral; this gives traders the advantage of arbitrage by taking advantage of the low borrowing interest rates. Aave will reach a maximum price of $265.04 and a minimum price of $188.91.
Aave Price Prediction 2025
Aave coin price prediction for 2025 is $290.02. Aave provides a haven for earning interest on your crypto holdings; users provide liquidity on the platform to earn higher interests than those from traditional finance organizations. Aave bullish trend continues and will reach a maximum value of $336.06 and a minimum value of $282.19.
Aave coin Price Prediction 2026
Aave coin price prediction for 2026 is $446.6. Aave runs a proof of stake consensus algorithm; therefore, the community can take part in securing the platform by staking their Aave holdings which, in return, earn interest. Staking also gives users voting rights for decisions made on the platform. Aave will reach a high price of $490.76 and a low price of $435.05.
Aave Price Prediction 2027
Aave coin price prediction for 2027 is $661.72. The Aave grants DAO provides financing to developers to create on the Aave protocol. The entire Aave community controls the fund and allocations; incentives attract developers to Aave. Aave will sell between $643.86 and $757.01.
Aave Price Prediction 2028
Aave coin price prediction for 2028 is $989.69. Aave has partnered with other players to provide the best yields to its community. These partners include Convex, Pooltogether, Curve finance, Balancer, and Stake DAO, and these platforms provide the best liquidity for the users. Aave will sell between $956.60 and $1123.46.
Aave Price Prediction 2029
Aave coin price prediction for 2029 is $1437.78. Security on the Aave platform is the priority. The platform is audited and approved by Trail of Bits, Certora, Open Zeppelin, APDK, Sigma Prime, and Peckshield. Such audits increase trade confidence and investments from financial institutions such as hedge funds. Aave will sell for between $1674.06 and $1388.30.
Aave Price Prediction 2030
Aave coin price prediction for 2030 is $2109.23. The Aave protocol is highly decentralized and has an Aave risk DAO. The risk DAO is tasked with ensuring safety on the platform and mitigating protocol risks by vetting new listings and upgrades. Aave value in the crypto market will reach a high of $2410.06 and a low of $2051.72.
Aave Price Prediction 2031
Aave token price prediction for 2031 is $3094.83. The Aave protocol is secured with a safe backstop from insolvency with $244M worth of Aave tokens. The fund secures investor accounts from uncertainties that may occur in the highly volatile cryptocurrency market. In 2030, Aave will sell between $3010.46 and $3586.83.
Aave Price Predictions by Industry Influencers
Jacob Crypto Bury thinks on Aave’s recent GHO announcement and suggests that its crypto winter is trading at discounts.
Conclusion
The Aave protocol is, by all means, decentralized, open-source, and noncustodial. The community votes on most aspects of the platform in an open and verifiable manner. Aave is yet to become an equivalent of a bank through the services it provides.
Aave has lost over 70% of its value in this bear market and is expected to begin recovering in 2023. While it’s difficult to tell when the market will bottom out, Aave sells at a discount and will be highly profitable in the next bull run.
