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AAVE, probably the most outstanding DeFi tokens, has made a vibrant begin to July. The coin is experiencing a value rally, leaping by greater than 26% prior to now week. Overall, the AAVE market appears to be having fun with a lot consideration as proven by recent high whale activity. 

AAVE Aims For $90 Again – Price Action 

AAVE has been on a optimistic run prior to now few weeks. Since reaching a yearly low of $50 in mid-June, the token has been on a bullish course, which has seen its worth rise by over 53%.

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It is price noting that the worth of AAVE declined for just a few days after touching the $75 mark on June 26. This fall precipitated the token to shed most of its value achieve on the time. However, the DeFi token seems to have absolutely recovered from this loss, with its yearly excessive of $91.73 now in sight. 

According to historic value knowledge, there appears to be resistance on the $80 value zone. So the AAVE token would wish to beat this barrier in an effort to make its option to $90 once more. If the coin fails to interrupt this threshold, it might expertise a slight retracement to search out assist on the $70 value degree.

CoinGecko data exhibits that AAVE presently trades at $75.81, shedding greater than 2% of its worth prior to now 24 hours. This alerts a waning shopping for strain, which might hamper the token’s likelihood of breaking the $80 resistance zone.

AAVEUSD buying and selling at $74.25 | Source: AAVEUSD chart from TradingView

Aave Freezes TUSD Reserve on V2 Ethereum Pool

On July 3, 2023, the Aave neighborhood executed a proposal to freeze the TrueUSD (TUSD) reserve on the Aave V2 Ethereum pool. This is available in response to the latest controversy surrounding the stablecoin.

This proposal will stop customers from depositing or borrowing TUSD on the Aave V2 Ethereum pool. “This AIP (Aave Improvement Proposal) is designed to take a conservative approach to the TUSD situation,” the proposal learn.

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TUSD jitters began after its expertise associate Prime Trust was rumored to have gone bankrupt. These points have been compounded when the embattled Fintech firm shut off withdrawals and deposits resulting from strain from Nevada state regulators.

Although TrueUSD has halted the minting of its stablecoin through Prime Trust, there’s nonetheless some uncertainty surrounding using its property. And shedding its greenback peg within the month of June didn’t assist its case.

This AIP to freeze TUSD reserves obtained overwhelming assist, as practically 84% of voters permitted it. However, it’s price noting that customers will nonetheless have the ability to repay and withdraw their TUSD from the stablecoin pool.