- Profit-taking: AERO pulls back after hitting $1.2, with traders securing gains.
- Technical levels: Key support sits at $0.92 and $0.827, next target $0.74.
- Fundamental catalyst: Merger with VELO offers long-term upside despite short-term selling pressure.
Aerodrome Finance — AERO , has seen a pullback after recent gains near $1.2, leaving traders cautious. The token trades lower as profit-taking and market fears weigh on sentiment. On November 13, news of a major DeFi merger with VELO spurred initial excitement. Despite the planned cross-chain expansion, selling pressure and declining volume have slowed the rally. Investors are watching key support and resistance levels to gauge the next move.
AERO Faces Resistance After $1.2 Rally
The merger between AERO and VELO will form a new cross-chain decentralized exchange, Aero. Dromos Labs will operate across Base, Optimism, and the OP Superchain before moving to Ethereum. Existing AERO holders will receive 94.5% of the new token supply, while VELO holders get 5.5%. Despite this coordinated and transparent merger, AERO price dropped 6.36% in the last 24 hours. Daily trading volume fell over 53%, signaling high selling pressure.
Concerns over dilution and profit-taking likely drove the dip. Bitcoin’s recent price decline also fueled market-wide caution, contributing to the downward move. Technically, AERO formed a bullish structure after moving above $0.966. However, the $1.2 level proved a strong resistance zone, as it had in late September. The cyan swing structure indicated bullish momentum, but recent gains were fully retraced. On Balance Volume (OBV) created a lower low on November 13, confirming heavy selling volume in recent sessions.
What’s Next for AERO?
AERO faces critical short-term support at $0.92 and $0.827. A failure to hold these levels could push prices toward $0.74. Traders are watching how volume behaves near these zones to confirm potential recovery or further decline. The merger still presents long-term upside potential, as cross-chain functionality could expand adoption. Investors should weigh technical pressure against fundamental catalysts like the Aero exchange launch.
Short-term traders may remain cautious until a breakout above $1.2 occurs. Strong demand near $0.92 could reignite bullish momentum. Conversely, sustained selling from profit-taking could extend the downtrend. Monitoring OBV and volume indicators will help assess market strength.Despite the recent dip, AERO retains upside potential if broader DeFi adoption grows. The merger and cross-chain strategy remain significant catalysts.
Traders and investors should track resistance and support closely for clearer entry points. Market sentiment, combined with technical signals, will determine the next significant move. AERO retraced after profit-taking slowed its rally near $1.2. The token faces key resistance at $0.92 and $1.2. Technical indicators show high selling volume, suggesting potential drops to $0.827 or $0.74.
