$AAVE #AaveProtocol General trend: AAVE on a recent rise, driven by governance and institutional interest, but with challenges.
Positive points:
Proposal "Aave Will Win": 100% of product revenue (frontend, app, card, etc.) goes to the DAO → increases token value (contributed to +2.26%).
DeFi leadership: Dominates lending (e.g., 87% of revenue in Jan/2026), high TVL, deposits from whales/institutional.
Technical: Short EMAs above long ones → sustained bullish trend (24h).
Risks:
Funding request: Aave Labs wants ~$50M from the DAO (stablecoins + 75k AAVE) → criticism for lack of transparency, excessive size, and risk of centralization.
Momentum weakening: Positive MACD but declining, recent capital outflows → potential volatility.
Governance tensions: Ongoing debates (2025) about brand control and assets continue.
Community sentiment: Mixed, with cautious optimism about revenue alignment, but much concern over the funding request and transparency.
In summary: Strong upside due to revenue alignment + DeFi fundamentals, but downside due to controversy over the funding request and debates in the DAO. DYOR, not financial advice! 😊