AAVE Price Reclaims $320 As TVL Metric Shows Positive Divergence — What’s Next?

After hovering around the $300 mark at the start of this week, the Aave price appears to have finally broken out of its consolidatory ￰0￱ Friday, September 12, the DeFi token made a brief return to the $320 level on the back of a general market ￰1￱ strong momentum of the Aave price movement suggests that the altcoin’s return to $320 might not be a random ￰2￱ interesting convergence of an optimistic technical outlook and positive on-chain data paints a picture of what is next for the AAVE ￰3￱ Does This Positive Divergence Mean For Aave? In a Quicktake post on the CryptoQuant platform, CryptoOnchain shared an interesting on-chain insight into the journey of the Aave price from around $130 in late 2024 to above $340 in the ￰4￱ to the crypto analyst, Aave’s Market Cap to Total Value Locked (TVL) ratio concurrently dropped to a two-year low as price rose to the 2025 ￰5￱ Reading: Chainlink And Polymarket Forge New Alliance: LINK Forecasted To Outperform XRP By 2030 The MC/TVL ratio, as the name suggests, is an on-chain metric that compares a token’s market capitalization and the total value locked on its underlying ￰6￱ noted that this indicator typically surges in tandem with price, except when the TVL metric grows at a rate faster than the market capitalization.

However, the latest drop of the MC/TVL ratio to its lowest level in two years—as price grew—represents a positive divergence, which is likely driven by substantial capital inflows into Aave’s ￰7￱ to CryptoOnchain, this significant inflow of capital boosts the TVL without the market cap fully reflecting ￰8￱ crypto analyst attributed this situation to relative undervaluation—provided that the TVL growth is sustainable and not due to short-term yield farming activities. Overall, this positive divergence could be a bullish catalyst for both the AAVE price and the protocol’s ￰9￱ $335 The Next Stop For AAVE Price? In a separate analysis on social media platform X, crypto analyst Ali Martinez set a target of $335 for the AAVE ￰10￱ positive prediction is based on its recent breakout of a falling wedge on the four-hour ￰11￱ falling wedge, which is characterized by two converging downward trendlines, is often seen as a bullish ￰12￱ falling into this pattern towards the end of August, the price of Aave has finally broken out of the falling ￰13￱ to Martinez, the AAVE price could travel to as high as $335 in its next leg ￰14￱ move would represent an over 5% move from the current price ￰15￱ of this writing, the price of Aave stands at around $318.5, reflecting an almost 4% jump in the past 24 ￰16￱ Reading: Expert Crypto Trader Says Dogecoin Price Looks ‘Very Good’, Here’s Why Featured image from Binance Academy, chart from TradingView