Aerodrome Finance (AERO) Back Above $1 – Price Could Surge 100% by End of Year

Key Takeaways

• Aerodrome Finance (AERO) broke out from a resistance trend line.
• The AERO price reclaimed and validated the $1 area as support.
• Can AERO continue its increase and move to new highs?

Numerous positive Aerodrome Finance news occurred in October, starting with the marketplace crossing $40 billion  in cumulative volume and the success of cbBTC , which has been live for less than a month and is already the highest-volume BTC pool on-chain.

The AERO price movement in September was also positive, leading to a 95% appreciation.

Let’s analyze the AERO price action and see if this trend can be maintained in October.

Aerodrome Price Bounces at Support

The daily time frame price action shows that AERO broke out from a descending resistance trend line on Sept. 19. The trend line existed for 138 days before then, leading to three rejections (black icons).

After the breakout, the price of AERO reclaimed the $1 horizontal resistance area and validated it as support on Oct. 3 (white icon).

While this is a bullish development, the long upper wicks near $1.20 (black circle) are worrying since they signify that bulls did not have enough strength to maintain the increase.

Additionally, technical indicators show some signs of concern. While the Relative Strength Index (RSI) and Moving Average Convergence/Divergence (MACD) moved above 50 and 0 during the breakout, they have lost their momentum and are falling.

However, they still have not fallen below their bullish thresholds.

So, while the daily time frame readings are not decisive, they lean more toward a bullish trend as long as the AERO price does not close below $1.

New Aero Highs?

The AERO wave count supports the upward movement and suggests that AERO will move to new highs. The most likely count suggests that AERO completed a five-wave increase (white) and an A-B-C correction from January to July.

If this is accurate, the price of AERO started a new five-wave increase in July. In it, wave three extended, as can be seen by the sub-wave count (black).

The most likely projection for the future movement suggests that AERO will complete sub-wave four inside the $1 horizontal area and then begin the fifth and final sub-wave.

Preliminary targets for the top of waves three and five are at $1.85 and $2.75, respectively.

The first is a horizontal resistance area, while the second target is found by giving both upward movements the same length.

AERO Trend is Bullish

The AERO price action since September has been bullish, and the wave count suggests this will continue for the rest of the year. As long as AERO does not close below $1, the most likely future outlook projects an increase toward a new all-time high and a target of $2.75.

Read More: Aerodrome Finance Price Prediction 2024: AERO Price Analysis