Trade Of The Day – AEVO

Good Morning The Traders, trade of the day, 14th of March, we will be looking at AEVO. So I mentioned in the last night, at my trading-analysis, uh, talking about the ByBit listing price that was on, uh, there’s a bit weird glitch on Trading View, where it’s not showing there this morning, but 3.0196 is the listing price. That’s what’s on the actual exchange, I was watching it as it launched and as it was being traded and then the listing price on Binance spot, the pump went up all the way up to $3.50.

So there’re just a couple levels to watch in terms of actually trading it. Um, I’m looking at really simple looking for one area to prove to be accumulation range. Which first sign of that would be for the bands to go Green again, right? If the bands go green and it gets above the Bybit listing price, I would take a long there for longs or that would be my indication of the trend changing, right?

So it’s currently doing what is very common, especially if you look at the binance listing. This type of pattern is really common after a new listing, it essentially sells off, goes sideways into a correction, into a consolidation remains to be seen.

Now, Obviously, I’m interested in this one because new launches tend to be favored by the market. That might not always be the case, right? If the market, now if it’s become commonplace for the market to bid up new projects, then maybe this one will get too much sell pressure as everyone’s trying to get long and it’ll bleed. But I don’t think so.

I tend to think that if it can make its way back up that we could see a move higher over the coming days. This ain’t drawn to scale timescale, but really simple. Sticking with the Bybit chart, because that’s where I trade really simple, for me is just the 15 minutes bands flip green, that’s when I’ll take a look at it, take a closer look, set my alert for the bands crossing.

And we’ll see how it goes from there, But there’s two, there are two things, two levels, two areas, I wanna see a crossing the bands with the bands themselves crossing green. And I wanna see that’s actually, uh, I get the EMA show around the cross. Yeah, it doesn’t really show it well, so that’s fine. It’ll just gimme an alert whenever it crosses the bands.

But I’ll just keep an eye on it. When the bands turn green and starts to show some signs of building up, if it say it’s here and there is a higher low and there also be higher high, bands start to go green gets above the Bybit listing price, that’s when I’ll start to look at it.

Otherwise, just wait, because it might go sideways, it might go lower, it might do more consolidation before moving up. You wanna wait until this initial rally after the launch, the selling, there’s some natural selling, that comes from new launches. You wanna wait for that to die down.

It looks like it is. It looks like as the bands are pre compressing here in the red side, it looks like they’re getting to the point where they’re, uh, close to flipping back to green or potentially giving us a bit of an uptrend. So not right now, but I like that if it does. Reason I like, it is because it’s new, it’s a decentralized, perfect exchange.

It’s got, it’s actually got some users already, a good platform where people go and speculate on projects that haven’t listed. So they actually have a really unique selling point that other exchanges don’t have. If you see people talking about the new airdrops is coming up and the, you know, whatever’s being listed.

So I’ll, I’ll show you. If you go to AEVO in preps, they have a pre-market, right? So if you look here, you can see pre-launch tokens. So if you wanna speculate on the price of blast, which does not exist yet and everyone’s waiting on the big blast airdrop or you can go on AEVO and you can bet on that, right?

They have preps. So you can see that Blast has its own market and people are trading what they think is gonna happen with Blast. Now obviously the volumes aren’t super high and it’s not like there’s massive markets for pre-market trading, but what they offer is something unique that shows a bit of innovation. It shows an interesting, uh, you know, it’s dynamic.

I think the team are probably quite smart, quite decent. The main thing though is, it has quite a lot of notoriety. It’s well known in the trading community because these charts get shared before these airdrops are launched.

And when you look into the preps side, you’ve got DYDX, the obvious leader over a billion. You’ve got GMX net and you’ve got AEVO right behind that. So those two battling for second spot, and it’s clearly above already some of the others. So I think it’s well positioned. Uh, volumes are high, obviously with the launching, if the volumes can remain high and it start to trend up, that’s when you get one of these post listing rallies.

You know, you’ve seen this kind of the typical move many times before. You’ve got coins like Manta, if you go back, you’ll see when they first launch, right? They have a bit of consolidation when they first launch, then it had a nice little trend up happens over and over and over again across the market on a bunch of different kinds.

So we’ll see what happens with AEVO. I like it so far and not trading it yet, but if it shows what I want it to show, I’ll trade it then. So for me and this is like I said in trading analysis, just in case you haven’t read it, this is very much a low timeframe approach. Low timeframe idea. I’m literally looking at the 15 minute chart talking about the potential for it to rally when it’s only on it’s second daily candle, right?

This is not, me saying that’s I’m bullish, high timeframe or anything like that. Purely momentum. So if you’re not a day trader, just ignore what I’ve said or do whatever you wanna do. Yeah, this isn’t, you know, it might actually be a decent hold for a few weeks if it starts to trend up, but we’ll see.

DEX preps are actually really underwhelming category at the moment. Surprising that the whole DEX perpetual category is only like 3 billion market cap. I do think that will grow a lot. But one of the things that people have been most consistently wrong about is DEX Perpetuals. They’ve said this in from 2027 to 2021.

They’re like, we need to have these on chain exchanges that are just as good as BitMex or Bybit or Binance. And people ask me all the time, why don’t you trade? Why do you trade on a centralized exchange? It’s just far better. It’s not even close. No, no perpetual futures decentralized exchange has anywhere near the functionality, the fees, the spillage, the latency, like none of them are even close. Will they actually get there? Hopefully, possibly.

But you know, the market’s just not even close to that yet, which is interesting. Maybe someday, but certainly it’s not today. So I’m not massive bull on perpetuals, higher timeframe, you know, daily, weekly, monthly charts, But this one looks good from a narrative and a trend perspective on the lower timeframes. SO we’ll see how it goes. That’s all, See you later.

Sayonara – That’s all for Today, Do give your feedback.

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