Aerodrome Finance (AERO) is holding firm above a key support zone, keeping buyers engaged despite recent resistance pressure, on Monday, May, 4. Analysts note that the token’s ability to stay above the $0.40 level has maintained short-term stability, even as momentum shows signs of slowing.
At the time of writing, the coin is trading at $0.4506, showing a slight 0.47% drop in the past 24 hours. According to CoinMarketCap data, trading volume stands at $8.92 million, while its market capitalization is at $419.04 million. Over the past seven days, the token has declined by 3.4%.
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AERO Buyers Defend Key Support Zone
Analyst Crypto TXG highlighted that AERO is still above the $0.40 support level. The action maintained the activity of buyers around a significant price area.
After defending that area, AERO pushed higher and moved toward resistance. The token subsequently retested the level of $0.4740, where it experienced short-term rejection.
The analyst noted that this rejection could make a pullback more likely in the near term. The analyst indicated that AERO could be back to retest support and then move again.
In case the token demonstrates power at the present levels, it may break through the resistance. This breakout can enable AERO to resume its upward trend.
Moreover, another analyst, Vuori Trading, revealed that AERO reached a key resistance zone. He stated that traders ought to remain vigilant at this point. In case of momentum breakdown, the price can get weaker. He warned that weak RSI action could lead to a slow decline.
The analyst also noted that the inability to surpass the higher levels of RSI would result in downside risk. He indicated a weak scenario potential decline to $0.15. However, he also highlighted a bullish case. A shift to $13 would be long-term if the strength comes back.
EMAs Stay Strong While RSI Cools
According to TradingView data, the 20-day EMA stands at 0.42577, while the 50-day EMA is at 0.39303. The price is still higher than both levels. Such an arrangement implies that short-term support is still in place.
The 100-day EMA stands at 0.41243, which also supports the present price range. However, the 200-day EMA sits higher at 0.51176. This level marks a key barrier. The price must break above it to confirm a stronger trend.
Momentum indicators show moderate strength, with no breakout. The Relative Strength Index (RSI) value is 60.43, and the moving average is 61.80. This level is below overbought conditions. It demonstrates a certain purchasing interest but minimal growth.
AERO Derivatives Activity Drops
CoinGlass derivatives data shows decreased activity. The trading volume declined by 20.91% to $19.59 million. The open interest decreased by 1.40% to $31.73 million. The OI-weighted funding rate stands at -0.0013%. These numbers indicate less trader involvement.
This article contains market analysis and price predictions. These are not guarantees. Crypto markets are volatile. Always DYOR. Not financial advice.
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