Aave teams up with Maple to introduce institutional assets, AAVE price still trapped in a falling structure: beware of falling below $200!

The leading Decentralized Finance (DeFi) lending protocol Aave announced on Tuesday a strategic partnership with on-chain asset management company Maple Finance (SYRUP), aimed at bringing institutional-grade assets into Aave's lending market. However, this favourable information did not have a lasting bullish impact on the AAVE price, which faced rejection at the resistance level of $235. Technical analysis shows that AAVE has fallen below the key demand zone of $210, and the internal structure has turned bearish. Analysts predict that unless AAVE can turn the supply zone of $235 to $250 into support, the recent downward momentum may continue, with caution advised as AAVE's price could slide further below $200.

Institutional Cooperation Upgrade: Aave and Maple Join Forces to Expand the Lending Market

Aave and Maple Finance's collaboration aims to bridge the gap between traditional finance and DeFi, bringing Maple's network resources into Aave's ecosystem, promoting the on-chain application of institutional-level assets.

· Purpose of Strategic Cooperation: Aave is the largest blockchain-based lending protocol. By collaborating with on-chain asset management company Maple Finance, it will gain access to Maple's network of distributors and borrowers, thereby bringing institutional-grade assets into Aave's lending market.

· On-chain applications of institutional-grade assets: This collaboration highlights the trend of the DeFi industry moving towards institutionalization, utilizing on-chain transparency and efficiency to manage and lend traditional financial assets.

AAVE Price Technical Analysis: Bearish Structure Established

Despite the favourable information in the fundamentals, the price trend of AAVE shows clear bearish control on the higher time frames, and the key support level has been broken.

· Favourable information did not drive the price: AAVE token price faced rejection at the resistance level of 235 dollars after the announcement, failing to form a sustained bullish trend.

· Structure has turned bearish: AAVE price has fallen to its lowest point since May 2025, dropping below the $210 level that has served as a demand zone for the past five months. The previous week's closing price of $222 is below the July low of $245, indicating that AAVE's internal structure has turned bearish.

· Indicators of increased selling pressure: The On-Balance Volume (OBV) has shown a downward trend over the past month, indicating that the selling pressure of the token has increased. In the weekly time frame, the Relative Strength Index (RSI) has fallen below the neutral 50, collectively suggesting that the bears are in control.

Short-Term Trend Prediction: Short Squeeze Rebound and Continued Downside Risk

AAVE on the 4-hour chart shows persistent selling pressure, traders should be cautious as the price may first rebound to the liquidity accumulation area, and then continue the long-term downtrend.

· Signs of continuous selling pressure: On the 4-hour chart, OBV and price have formed lower highs over the past month, and RSI has turned bearish again after a brief rebound to $235.

· Key short-term levels: In the coming days, a breakout above $235 or a drop below $200 will determine the short-term price trend of AAVE.

· Liquidity heat map prediction: The liquidation heat map over the past month shows a liquidity accumulation zone between 237 USD and 248 USD. Combined with the bearish outlook on higher time frames, the price may rebound to 250 USD to collect liquidity above before resuming the downtrend.

(Source: CoinGlass)

· Conditions for bearish scenario invalidation: To invalidate the bearish scenario, AAVE needs to rise and break through 250 USD, and with the support of sustained buying in the spot market, retest this supply zone as a demand zone. A rebound in Bitcoin price above 112,000 USD may also help.

Conclusion

The strategic partnership between Aave and Maple Finance is undoubtedly an important step in the maturity of Decentralized Finance, helping to attract more institutional capital. However, the favourable information from the fundamentals has yet to be reflected in the price movements, and AAVE's technical structure has turned bearish, suggesting that selling pressure will continue in the short term. Investors should be cautious of the risk of prices continuing to fall after rebounding to the liquidity collection area near $250 and should remain highly vigilant near the key support level of $200. Only if Bitcoin can successfully rebound and AAVE can reclaim the key supply area can market sentiment truly reverse.

Disclaimer: This article is news information and does not constitute any investment advice. The cryptocurrency market is highly volatile, and investors should make decisions cautiously.