- Aave surpasses $60 billion in net deposits, signaling robust user confidence in lending activity.
- Total value locked on Aave surged by 45%, supported by higher fees and deeper platform engagement.
- Market volumes dipped, yet rising open interest hints at quiet leverage positioning ahead of a potential breakout.
Aave’s native token has stabilized near $265 after a period of sharp retracement. The asset recorded a 3% daily gain, although it remains down by 6% over the past 30 days. This price consolidation aligns with a notable rise in net deposits on the platform, now exceeding $60 billion.
Net deposits represent the gap between assets supplied and borrowed. The latest data confirms that lending activity on Aave significantly outweighs borrowing. This development marks Aave as the first decentralized finance protocol to cross the $60 billion threshold in net deposits, according to a company update posted on August 6.
Strong On-Chain Metrics Amid Lower Volumes
Data from DeFiLlama shows a 45% increase in total value locked, rising from $24 billion in July to $34.9 billion in August. Network fees have also grown from $48 million to $65 million month-over-month, suggesting increased platform usage and growing borrower activity.
In a bid to increase developer engagement, Aave has launched a V3 developer toolkit. It features APIs, SDKs, and React hooks aimed at easing the creation of lending vaults. These vaults support tailored lending strategies with customized risk configurations, promoting flexible borrowing and yield solutions.
Derivatives Activity Slows, But Leverage Builds
Despite strong on-chain metrics, market participation remains subdued. Spot trading volume dropped by 13% to $297 million, and derivatives volume declined 19.3% to $503.6 million. However, open interest increased by 4.1% to $561.9 million, hinting at a buildup of leveraged positions.
Source: TradingView
Technical signals suggest cautious optimism. The MACD remains negative, while the relative strength index is neutral at 43.3. Shorter-term moving averages continue to signal weakness, though the 100- and 200-day SMAs are in positive territory. The price sits just above the lower Bollinger Band, commonly a support marker.
A decisive move above $280 could clear the path toward resistance between $310 and $315. Conversely, if the price slips below the $250–$255 support zone, the $230 level may be revisited. Increased sell-side pressure below the Bollinger Band could further weigh on price momentum.
