$AAVE whales have triggered major sell-offs, causing a rise in exchange flow balance and downward price pressure.

$AAVE price divergence with daily active addresses suggests falling demand, supporting the bearish trend.

$AAVE price may drop below $128.45 support, potentially reaching $116.10 if sell-offs continue.

In a Tuesday post on X, on-chain sleuth Lookonchain noted that $AAVE whales are actively selling off their holdings, with significant withdrawals noted in recent transactions.

One whale, identified as address 0x7634, withdrew 25,790 $AAVE (around $3.39 million) from the $AAVE protocol and transferred it to the MEXC exchange. Just three hours earlier, another whale, address 0x790c, had removed 7,822 $AAVE (approximately $1.04 million) from $AAVE and sent it to Binance. Additionally, crypto trading firm Cumberland deposited 10,000 $AAVE to OKX.

The action of these $AAVE whales has resulted in a sharp rise in its exchange flow balance. Santiment’s data shows that at press time, this balance is 53,000 $AAVE representing its single-day highest flow since September 10.