Aave Price Plummets to Three-Week Low Amid Sellers' Dominance

Aave's recent price drop has raised concerns among investors and traders. After breaching below $100, the altcoin's price plummeted to a three-week low of $96.

According to TradingView data, Aave's market participants turned bearish after the altcoin fell below its short-term Moving Averages (MA). The Bulls vs. Bears indicator also turned negative, indicating that sellers have dominated the market and displaced buyers.

Exchange activities echoed this trend, with 79k AAVE tokens flowing into exchanges compared to 74k flowing out. This has led to an increase in selling activity, as reflected by the Exchange Supply Ratio (ESR) reaching a monthly high of 0.137.

The Relative Strength Index (RSI) has also fallen into bearish territory, with a value of 34 at press time. If sellers continue to overrun the market with little resistance, Aave's price could slide towards $92 before attempting another leg up.