Aave Proposes 100% DAO Revenue Model, Yet Price Remains Under Pressure
Aave proposed a governance model directing 100% of Aave Labs' product revenue to the DAO, but the AAVE price remains pressured by selling activity.Summary
Aave Labs introduced a new governance initiative called "Aave Will Win," centered around the upcoming V4 upgrade. This proposal mandates that 100% of revenues generated from products developed by Aave Labs will be allocated directly to the Aave DAO treasury under a token-centric model.
Despite this potentially sound development, the AAVE token price is currently under pressure and remains in oversold territory according to the Money Flow Index. Exchange net position change data indicates continued selling pressure, as holders are moving AAVE to trading platforms, suggesting an intent to sell rather than accumulate.
Technically, AAVE is trading around $111, holding above the critical bear market support floor of the 23.6% Fibonacci level at $109. While historical data suggests a rebound from oversold conditions, broader market weakness and current selling outflows may keep the price range-bound between $109 and $119 until selling pressure eases.
(Source：BeInCrypto)