Aave has dropped over 13% in the past week, and the main culprit behind this is the internal governance conflict within the protocol—Aave Labs and the DAO community are arguing intensely over the distribution of fee income, which has directly shaken market confidence. In the short term, there is indeed a possibility of a rebound, but the true bottoming out and recovery will have to wait.

Looking at the three-month trend, Aave has been on a downward slope. The support at $220 in October did not hold, and in early November, it was pressed down by overhead resistance. The current overall pattern is a typical bearish formation. On the four-hour chart, although it rebounded from $146 to $155, the overall signals still lean bearish. However, there is a detail— the MACD indicator is approaching the zero line, indicating that buying momentum is gradually strengthening; the CMF index has also risen above +0.05, which usually suggests that capital is quietly accumulating. Combining these signals, a short-term rebound to the key resistance levels is possible.

The key area to watch is the $167 to $178 range, which could likely become the trigger point for the bears. If the price can break through $187, it would mean that the bearish opportunity has been completely invalidated, and an upward trend could even reverse.

Overall, the dispute over fee income has indeed shaken investor confidence, but from the fundamental perspective of the protocol itself, it remains solid. Traders should now wait for a rebound and then position themselves at key levels, but the overall market tone remains bearish. Of course, this is just an analysis for reference and does not constitute any investment advice.