AAVE rallies as Aave V3 adds Ripple’s RLUSD for lending and borrowing

Ripple’s stablecoin, RLUSD, sees increased adoption with the latest integration on Aave V3’s Ethereum market.

The addition introduces streamlined lending and borrowing services for DeFi enthusiasts and institutions.

The announcement shifted attention to native AAVE’s performance, which signals impending rallies after breaking out of a descending wedge.

Ripple’s stablecoin enters Aave’s Ethereum market

The decentralized lending protocol confirmed RLUSD integration into its Ethereum Core market with its X post.

The new product allows individuals to supply and borrow the stablecoin within the Aave V3 ecosystem.

That will open the gates for stablecoin utility while propelling the adoption of Ripple’s new digital asset.

Aave V3 already supports leading assets (USD Coin, DAI, Ether, and WBTC) in its Ethereum Core market.

Meanwhile, RLUSD’s addition demonstrates the protocol’s trust in Ripple’s growing status in the DeFi world.

Users can use the stablecoin as collateral, borrow it, or earn yields by supplying RLUSD.

A win for Aave and Ripple

The integration represents a strategic move for Ripple and Aave.

For Aave, adding RLUSD helps it diversify its stablecoin offerings by tapping Ripple’s massive user base and growing brand.

Stablecoins remain a cornerstone for lending and borrowing activities in decentralized finance.

RLUSD integration will dilute risks associated with limited stablecoin options within the AAVE ecosystem.

Further, introducing RLUSD on Ethereum with Aave V3 listing represents a key breakthrough in bridging DeFi with TradFi.

The move underscores Ripple’s expansion beyond its XRP Ledger as it looks to democratize the web3 and decentralized finance sectors.

Also, the timing remains noteworthy.

Aave has integrated Ripple’s regulated product as the US adopts friendly policies for digital assets.

AAVE eyes extended rallies

The native coin demonstrated a bullish performance amid the optimistic ecosystem developments.

X user CW highlighted a key technical pattern, which signals more uptrends for AAVE.

The alt eyes continued gains after breaking out of a descending wedge formation.

The bullish reversal pattern emerges as prices trade within downward-slopping resistance and support levels.

That indicates a fading bearish momentum. That suggests impending solid rallies as bears lose grip.

AAVE hovers at $146 after an over 1.5% increase on its daily chart.

The increasing 24-hour trading volume signals a momentum shift to the upside.

Chart by Coinmarketcap

Enthusiasts should watch the key region at $130 – $135.

Stability beyond this price area would support steady short-term rallies.

Bulls will target $160 before targeting the key resistance at $170.

That would mean an over 16% gain for AAVE’s current price.

However, failure to confirm the breakout could welcome notable dips. Losing $130 might trigger price declines to retest $95 – $100.

A drop below this zone would invalidate the reversal pattern, potentially leading to prolonged consolidations or downtrends.

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