Recent fluctuations in the cryptocurrency market have put pressure on Aave, a prominent player in decentralized finance. The platform’s token has experienced a significant drop in value recently, prompting concerns for both investors and traders. This decline coincides with broader downturns across the crypto sector, affecting even Bitcoin as it risks falling below $120,000. The CoinDesk 20 Index also dropped by over 4%, highlighting the widespread volatility impacting the market. A closer look reveals several factors contributing to Aave’s token price decline: a 5% drop within a 24-hour period and subsequent struggles to regain momentum. Trading volume surged to nearly double the average, indicating heightened selling activity. Further analysis shows Aave’s token struggling to surpass resistance levels of $280, hindering its recovery efforts. Experts believe these factors indicate persistent sell pressure on Aave. These developments have raised questions about Aave’s resilience as investors await a clearer picture of its future trajectory.