Aave Overview
Aave (AAVE) is one of the top DeFi coins you must know by now, especially after its terrific 2021. But now investors are asking: ‘what is Aave expected to reach?’ Will it reach higher rate in 2023 and beyond? Before we deep dive into Aave’s prospects, let’s recap what Aave actually is.
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As we all know by now, 2021 was the best year for the crypto market, particularly DeFi coins. So, how much could Aave be worth? Take a quick look.
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AAVE — The First Crypto Lending Platform
Aave is a decentralised finance (DeFi) protocol that was designed to make it easier for people to lend or borrow cryptocurrency, specifically by removing the need for them to go through an intermediary. They describe themselves as ‘a decentralised non-custodial liquidity market protocol’.
Like many DeFi crypto protocols, Aave was built on the Ethereum network which makes it an ERC-20 token. Aave also has contracts with Polygon (MATIC), the Binance Smart Chain, Fantom (FTM), and Avalanche (AVAX) to name a few. This allows Aave to easily move around assets and technically makes it a multichain cryptocurrency.
Though built on the Ethereum blockchain, which technically makes Aave proof-of-work, Aave tokens can still be staked on Aave’s platform. Aave has a fixed total supply of 16,000,000 tokens. Transaction fees are paid to the Ethereum blockchain.
Some of Aave’s rivals include:
What’s The Point Of Aave?
Users who lend a portion of their cryptocurrency reserves earn interest, while users who borrow cryptocurrencies pay interest. Lending cryptocurrency through platforms like Aave has become one of the top ways to earn a passive income in the crypto market in recent years.
Aave sounds remarkably similar to other DeFi lending platforms, such as Compound or yearn.finance. But the protocol does have several advantages that help it stand out from the crowd. Some of these include:
- The Aave platform supports the lending and borrowing of around 20 cryptocurrencies, which is more than some of its competitors (some of these include Decentraland (MANA), Basic Attention Token (BAT), and Ethereum (ETH)).
- It offers ‘flash loans’ which are often referred to as the first uncollateralised loan option within the DeFi sector. Flash loans, also known as ‘one block borrow transactions’, allow users to borrow and then pay back loans in a single block. Aave’s flash loans are one of its top lending products.
- Users can alternate between fixed and variable interest rates, which enables them to alter their interest in line with the market. For example, fixed rates can be useful if the market is volatile, while variable interest rates can help users cash in on price changes if a borrower believes the asset they wish to borrow will soon fall in price.
Who Is Behind Aave?
Originally launched under the name ‘ETHLend’ in 2017, the platform was rebranded to ‘Aave’ — which means ‘ghost’ in Finnish — in September 2018. The name change was part of a move to expand beyond lending services that were just available on Ethereum.
Stani Kulechov created Aave upon realising there was a lack of lending protocols for the Ethereum ecosystem. Arguably, Aave is the first DeFi, arriving before the concept became popular. Kulechov has a background in law and programming
What Is Aave Used For?
The Aave token primarily works as a governance token. The Aave Protocol has a decentralised autonomous organisation (DAO) called Aave Governance. This governance model allows people who hold AAVE tokens to vote on policies. This can then impact how Aave develops in the future not just on a technical level, but also on how it operates as a service.
You can find out more about Aave from their website and their whitepaper (make sure you read V2, the more recent version).
Who Uses Aave?
According to smart contract data, there are slightly more than 300,000 Aave holders across Ethereum, Polygon, Fantom, Avalanche, Gnosis Chain, Solana, the Binance Smart Chain, Sora, and the Heco Chain (though do bear in mind that some users may own Aave on more than one chain).
According to DeFi Pulse, Aave is the third-largest DeFi project in the world after Curve Finance and Maker, and the second-largest lending platform after Maker. Aave is also the largest multichain DeFi cryptocurrency in a market where almost all other DeFi coins are based solely on the Ethereum blockchain.
Technical Analysis Of Aave’s (AAVE) Price Movements
Aave was first introduced to the market on the 29th of November 2017 at 27,500 LEND (former ticker symbol) = 1 ETH. Because of the rebranding from ‘Lend’ to ‘Aave’, it is hard to track Aave’s earliest known price — CoinGecko suggests that it was $26.02 which AAVE hit on the 5th of November 2020, though given its minuscule ICO price, it’s all-time low is probably much lower.
In 2021, Aave started the year at $90.35 and ended it at $255.11. Aave has a 52-week low of $113.00 and reached its all-time high of $666.86 on the 18th of May 2021.
In 2022, Aave started the year at $263.245 and ended it at $52.53.
Aave Price Chart
AAVE/USD price chart. Source: Coinmarketcap
Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
Expert’s Take On Aave Price Predictions
Across the web, only WalletInvestor has given a negative Aave price prediction.
Trading Beasts: “according to our forecasts, the Aave price is going to increase. Now the Aave price is $138.040, but by the end of 2023, the average Aave price is expected to be $144.855”.
Gov Capital: “Future price of the asset is predicted at $776.37778434268 (569.678% ) after a year according to our prediction system.
This means that if you invested $100 now, your current investment may be worth $669.678 on 2023 March 17, Friday”.
Price Prediction: “The price of 1 Aave is expected to reach [a] minimum level of $488.68 in 2025. The AAVE price can reach a maximum level of $571.41 with the average price of $506.10 throughout 2025”.
Coin Price Forecast (2024-2028): “These five years would bring an increase: AAVE price would move from $221 to $381, which is up 72%. AAVE will start 2024 at $221, then [dip] to $191 within the first six months of the year and finish 2024 at $191. That means +39% from today”.
DigitalCoinPrice: “In December 2030: The price of Aave is predicted to reach a minimum worth of $606.22 in 2030 and a maximum level of $669.82. The average includes the average trading price of $645.34 throughout 2030”.
Coinskid: “Our Forecast System predicts that Aave could possibly increase in value in the short term by +21% to $166.72 from $137.89. The system forecasts a +44% move from $137.89 to $198.57 over the next month, Aave has a price prediction of $472.91 in over a [years’] time”.
WalletInvestor: “ If you are looking for virtual currencies with good return, AAVE can be a bad, high-risk 1-year investment option. Aave price equal to 137.762 USD in 2023, but your current investment may be devalued in the future”.
The Economy Forecast Agency: “In the beginning price at 146 Dollars. Maximum price $181, minimum price $146. The average for the month [is] $161. AAVE price forecast at the end of the month $169, change for December 15.8%”.
Coinpedia: “According to Coinpedia’s formulated AAVE price prediction, if the network launched upgrades such as Liquidity mining and staking and game maker launch, the price may easily surpass the $450 mark in the next year”.
Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
Aave (AAVE) Price Predictions
According to the latest AAVE price prediction and forecast, Aave crypto asset will reach $384.87 by the end of 2023, rising to $624.89 by the end of 2024 and $1,953.92 in 2025. The coin will then rise to $2,808.21 in 2027, and $4,538.45 in 2030.
Our Aave price predictions are informed by several key factors. Pay close attention to them over the next few years.
Supply and demand is a huge factor that impacts the price of Aave and most other cryptocurrencies (less so with cryptos that don’t have a capped supply). When demand exceeds supply, the price of Aave will increase and when the opposite happens, Aave will decrease.
Supply and demand relate to several sub-factors, some of which are mentioned below.
Undoubtedly, the price of Bitcoin affects Aave. Because Bitcoin was the first, biggest, and most famous crypto, most of the people who are willing to invest in digital assets at all have invested in Bitcoin. This means that when confidence in BTC rises or falls, it has a ripple effect that is felt throughout the market.
For example, when Elon Musk announced that Tesla would no longer accept BTC payments due to the environmental impact of cryptocurrency mining, it caused the value of Bitcoin to lose thousands of dollars overnight. In line with this, the price of other cryptos fell too.
Aave plummeted to its lowest prices since January 2021 in the wake of the announcement, in which Musk said: “Cryptocurrency is a good idea on many levels and we believe it has a promising future, but this cannot come at a great cost to the environment”.
Elsewhere, regulation is not only a concern to the wider cryptocurrency market, but the services that Aave offers will come under closer scrutiny in the future as politicians debate how DeFi services should be regulated. In the worst-case scenario, they could even be banned or severely limited.
In the end, the legal parameters in which Aave can operate could be a boost or big problem depending on how regulators choose to tackle it. Either way, investors should pay close attention.
The decentralised finance sector has taken the crypto world by storm. Decentralised finance, known as DeFi, is the idea that people have a right to access financial services that aren’t owned by central bodies such as banks and big businesses.
The cryptocurrency market is almost fully decentralised, which is its main attraction for many people who believe DeFi is the future. As one of the first cryptocurrency protocols in the DeFi space, Aave is perfectly placed to take advantage of this demand. It has a more democratic approach to finance, refusing to introduce policies such as KYC (know your customer) that other financial services are obliged to employ as a way of screening their users.
So far, Aave has not had much media attention, however, as we have seen from coins like Bitcoin, if a coin gets enough attention in the news, it can draw in a lot of attention (sometimes good and sometimes bad). This can then impact demand.
Dogecoin (DOGE) and Shiba Inu (SHIB) have also shown us how viral cryptocurrencies can become on social media when influential individuals mention them.
To summarise, there are a lot of factors that could positively affect the price of Aave in the future, making it a top short-term and long-term investment. Here are our Aave price predictions for 2023 to 2030.
Aave (AAVE) Price Prediction 2023
DeFi protocols will see increased interest from retail investors in 2023, leading to further demand for AAVE.
With DAO tokens continuing to climb in popularity in 2023, Aave will gain steam. As per our AAVE price forecast for 2023, we project that the price of the coin will start improving soon. The price target for June 2023 is $174.54. We also expect the price to improve as the year progress. The value target for November is $210.34 while that is December is higher at $313.45 per coin. The maximum Aave price prediction for 2023 is $384.87 and the lowest price prediction is $103.20.
Aave (AAVE) Price Prediction 2024
Within the next two years, Aave is expected to improve its prkects in many ways and we believe the 2024 Bitcoin halvening will shake up the crypto market with another bull run that will also have a postive impact on the price of its coin.
As per our AAVE price forecast for 2024, we believe that the Aave coin will have a minimum price of about $590.90 per token. The maximum price for the coin is expected to be in the region of $1,335.68. Throughout the year of 2024, we predict that the average price of AAVE tokens will be $1,070.55.
Aave (AAVE) Price Prediction 2025
By 2025, Aave will expand its services to many other blockchains, further expanding the coins it offers for lending. A bullish trend will take Aave past the $1,500 barrier and to an all-time high of $1,953.92 — an increase of 193% from Aave’s current all-time high. The lowest Aave price prediction for 2025 is $963.36 and the crypto asset will end the year with an average of $1,486.71.
Aave (AAVE) Price Prediction 2026
2026 will be the year institutional investors will start paying much closer attention to Aave, investing heavily. The 2026 Aave price prediction anticipates AAVE achieving an average price of $1,800.80, a top price of $2,127.01, and a low of $1,652.37. Aave is expected to end 2026 at $1,977.65.
Aave (AAVE) Price Prediction 2027
Have you wondered what AAVE crypto investment will yield within five years? Then 2027 is the year you need to pay attention to because it is exactly five years ahead. From all indications, Aave coin will grow significantly bigger within the next five years and that should have a significant positive impact on the price of its tokens.
Innovating new lending products in 2027 will draw in swaths of new users — both lenders and borrowers. In five years, the price of Aave will reach a maximum value of $2,808.21 in 2027 and a minimum of $1,781.54. The Aave price prediction also calculates an average of $2,499.11 and a yearly closing price of $2,671.71.
Aave (AAVE) Price Prediction 2028
Yet another bull run will take place in 2028 as Bitcoin goes through another halvening and it will for sure impact the price of Aave. By December 2028, Aave will attain an average price of $2,832.06. This is after hitting another all-time high of $3,190.42. The minimum price of Aave in 2028 will be $1,909.40, as per the Aave price prediction.
Aave (AAVE) Price Prediction 2029
Aave will be the most well-known DeFi lending protocol in 2029, its popularity pushing its competitors into obscurity. Technical analysis indicates that Aave will rally to a top price of $3,788.62, sink to a low of $2,545.37 midway through 2029 and secure a healthy price of $3,222.41 by the end of the year. The average price Aave will achieve in 2029 is $2,980.19, as calculated by the Aave price prediction.
Aave (AAVE) Price Prediction 2030
Favourable crypto and DeFi regulation in 2030 will lead to more traditional investors finally investing in Aave.
As per our AAVE price prediction and forecast for 2030, we believe that Aave coin will have a high estimate of $4,538.45. Elsewhere, the lowest Aave price prediction is $3,497.31 and the calculated average is $3,900.15.
Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
Conclusion: What Could Aave Be Worth?
Aave is an excellent investment choice for those who believe in decentralised finance and borrowing. Furthermore, Aave is an excellent choice for investors who wish to take part in such a protocol by being an active participant in proposals.
But don’t make the mistake of thinking that the only direction the price of Aave will be going is up. Sure, things look good now, but unknown factors can always come into play and make a big difference.
The biggest unknown at this point is regulation which could have a two-fold impact on Aave if it proves to be a hinderance. Firstly, not only could regulation damage crypto as a whole, but Aave is at further risk because it operates in the DeFi sector, specifically lending which could see stricter regulation.
What Will Happen To The Price Of Aave (AAVE) In 2023?
2023 will be another momentous year for the price of Aave. Though our Aave price prediction does not expect the same highs from 2021, Aave will hit highs above $300 at various points in the year and not decline below $100 per coin.
Will AAVE Go Up In 2023?
Yes, the price of Aave will go up in 2023 with our Aave price prediction forecast anticipating a yearly high of $384.87. Though this is not as high as 2021’s $666.86, Aave will have higher lows in 2023 which will propel it to higher highs later in the decade.
Will Aave Go Up In 2025?
The value of Aave will increase in 2025 to hit a grand price of $1,953.92 and will not reach prices lower than $960 per coin. Further highs are expected in later years, according to the lastest Aave price forecast.
Will Aave (AAVE) Hit $1,000?
The $1,000 milestone will be achieved by Aave by 2024 at the earliest, though this will not last, and the asset will end the year at $900 at the highest. Further attempts to surpass $1,000 in 2025 will be more fruitful, as per our Aave price prediction.
Will Aave (AAVE) Reach $10,000?
Our Aave price prediction for 2023 to 2030 does not foresee Aave hitting $10,000 before the end of the decade. Instead, it suggests that a price around $4,500 is the highest Aave can reach. The coin could reach $10,000 between 2030 and 2040.
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Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
Other Crypto Price Predictions
FAQs Aave Price Prediction
Is It Safe To Use Aave?
Yes, Aave is safe to use. Aave is the most well-known and widely used crypto lending platform and has been operating since 2017. Aave has also been designed to prevent errors and protect both borrowers and lenders.
How Do You Make Money With Aave?
You can make money with Aave by putting funds in a liquidity pool and earning interest from your tokens. Alternatively, you can make money by staking the Aave token or by trading it.
Why Is Aave Going Up?
The demand for Aave grew enormously in 2021 because of increased interest in DeFi protocols, such as Aave’s, which enable crypto holders to earn passively from their tokens by lending them to others. This growth was further compounded by Bitcoin reaching several new ATHs.
Is Aave A Good Investment?
Its DeFi market dominance aside, if we look solely at Aave’s performance as an investment, it has performed exceedingly well. So far, Aave has racked up an ROI of 26,530.61%.
Will Aave Rise?
Yes, Aave will rise. Aave will beat its current all-time high and touch $1,000 for the first time in 2024 and then surpass $2,000 by 2026 and $4,000 by 2030, as per experts price prediction.
When Will Aave Take Off?
Our Aave price prediction for 2023 to 2030 anticipates a gradual increase over the next eight years. Arguably, though, Aave’s price will take off by 2023 when it hits a high of $624.89 — close to its 2021 high of $666.86.
What Price Could Aave Reach?
If you’re looking for a crypto with great returns, Aave (AAVE) can be profitable. Based on our forecasts, a long-term increase is imminent and the prognosis for 2027 is a high of $2,808.21. This means a five-year investment could equate to an ROI of 1,940.11%.
What Is Aave’s Price Prediction For The Next Bull Run?
Though we cannot say for sure when the next bull run will take place, it could be started by Bitcoin’s 2024 halvening. The highest Aave price we have predicted for this year is $1,335.68, an 870.345% increase.
How High Will Aave Go?
Price Prediction has so far made the biggest estimate for Aave. They calculate that it could be worth up to $5,399.87 by 2031.
Aave Price Prediction 2040
If we continue our Aave price prediction model all the way to 2040, it estimates a potential price between $15,000 and $25,000 per AAVE.