⚡ Why is it growing $AAVE and what can we expect from the asset
Since the beginning of December, the coin has risen in price by more than 90%.
The cryptocurrency is growing on the news that the team of Donald Trump's crypto project World Liberty Financial ($WLFI) is buying AAVE with funds raised from the sale of the native token. $1 million was allocated from the project's wallet to purchase the coin.
Another driver of growth is the interest in the project from whales. Last week, 3,310 large transactions worth over $100,000 were recorded, which is the highest weekly figure since 2022.
And another growth factor: on December 13, the project team announced the imminent launch of the fourth version of the protocol.
What happens next?
Further growth prospects are indicated by changes in the average age of invested funds (MDIA). The metric measures the average age of all tokens on the blockchain, weighted by the average purchase price.
When MDIA rises, it indicates that most cryptocurrency holders are keeping their assets in wallets, which can hinder price growth. A decline in MDIA signals that previously inactive tokens are entering circulation again, often indicating increased market activity and possible acceleration of price growth.
On-chain data shows that MDIA $AAVE has dropped significantly (screenshot). If the trend continues, the altcoin price may exceed $400. Whale activity may support the forecast.
