Whale Doubles Down on AAVE Despite $3.3M Loss – What’s Behind the Bold Move?

Whale Buys the Dip: AAVE Sees Major Accumulation Amid Losses

Onchain data from OnchainLens reveals a prominent whale recently acquired 9,157 AAVE tokens at an average price of $171.4, spending approximately 501 ETH (around $1.57 million). This purchase stands out not just for its size, but for its timing—amid significant unrealized losses.

Prior to this, the address had already accumulated and staked 78,074 AAVE tokens at an average cost of $214.5, investing roughly $16.75 million. While staking rewards generated nearly 463.48 AAVE (valued at ~$79,000), the overall position remains underwater by approximately $3.3 million.

A Strategic Bet on DeFi’s Comeback?

• The new buy-in suggests strong belief in AAVE’s long-term fundamentals;
• Despite short-term red numbers, the whale appears to be averaging down strategically;
• This could signal anticipation of a broader recovery in lending protocols and the DeFi sector.

In volatile markets, such contrarian moves often foreshadow turning points. Historically, elite accumulators have built massive positions during downturns, later reaping substantial gains. This latest activity may indicate that confidence in AAVE’s future is far from fading.