$AAVE The 1H timeframe is oscillating narrowly between 110-113, with RSI showing a bullish divergence signal. The price is declining but selling momentum is weakening. Although the 4H timeframe is in a downtrend channel, open interest remains stable, and in a negative fee environment, the price has not made new lows, indicating potential support from major players or short covering. Currently, the price is below the 1H EMA20, and a clear breakout signal is needed to enter and target a rebound.

🎯Direction: Long (Long)
⚡Entry/Order: Break above 112.80 or pullback to 111.20
🛑Stop Loss: 109.90
🚀Target 1: 115.50
🚀Target 2: 117.80
🛡️Trade Management:
- Position size suggestion: Light position
- Execution strategy: Enter with 50% position after price breaks above 112.80; add remaining position if it pulls back to 111.20. After reaching Target 1, reduce position by 50% and move stop loss to entry price. Hold remaining position for Target 2.
Order book logic: The buy-side depth (112.3-112.4) is significantly thicker than the sell-side (112.5-112.6), indicating an imbalance. The 1H RSI (40.79) shows a bullish divergence with the price, indicating weakening downward momentum. Open interest remains stable while the price declines, combined with negative fees, suggesting passive long liquidation rather than major selling. Once the liquidation pressure eases, a quick rebound is likely. The key resistance on the 4H chart is at 115.5 (former low turned resistance).
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