AERO Technical Analysis: Key Resistance Level and Potential Market Trend After a 12% Increase

Aerodrome Finance (AERO) has recently gained significant attention. According to Gate Market data, AERO has increased by 8.78% in the past 24 hours, with the price oscillating as it tries to find direction. Although there is some profit-taking pressure after a short-term surge, multiple on-chain and derivatives market indicators suggest a subtle shift in market sentiment.

Capital Flows Back, CMF Reaches New Highs

The core driver behind this price movement is positive macro capital signals. The Chaikin Money Flow (CMF) indicator, which measures inflows and outflows, has recently risen to its highest level in three and a half months. This change indicates that the outflow trend since early December 2025 has been effectively contained and has shifted to a capital inflow dominance.

A high CMF typically reflects more than just short-term speculative activity; it indicates that long-term funds are gradually rebuilding positions. This macro-level buying power provides potential structural support for AERO’s subsequent price action. Although the price remains in a wide-range consolidation, the return of “smart money” often signals an early stage of trend reversal.

AERO CMF. Source: TradingView

Derivatives Market Shows Optimism

Compared to the cautious spot market, derivatives market participants appear more straightforward. Data shows that AERO futures contracts are currently predominantly long positions, with longs totaling approximately $2.35 million. This suggests that a significant number of traders are positioning for a potential upward breakout.

This optimistic sentiment is not unfounded. The current position distribution creates a potential “catalyst”: around $0.351, there is a cluster of short-term liquidations worth about $623,560. In the crypto market, once the price breaks through this resistance level and triggers a large-scale short squeeze, it often accelerates upward momentum, creating a so-called “short squeeze” rally.

AERO Liquidation Map. Source: Coinglass

Price Range Narrows, Reversal Imminent

From a technical perspective, AERO is currently in a typical “consolidation” phase. After a rally of over 12%, the price has not experienced a significant pullback but has been trading within a relatively narrow range. Gate Market shows AERO at a current price of $0.3321, with a 24-hour high of $0.3457 and a low of $0.3047.

AERO Price Analysis. Data Source: TradingView

This pattern is often seen as a “coiling” stage before a directional move. The short-term trading range to watch is between $0.352 and $0.292. Although momentum indicators show energy is building in this compression phase, whether the price can sustain a breakout depends on whether it can hold above the key resistance at $0.352. A successful break above could target a technical move up to around $0.400.

AERO MACD. Source: TradingView

Downside Risks Remain

However, the optimistic narrative also warrants caution regarding potential downside risks. If the bulls fail to defend the current gains and the price cannot break through the $0.352 resistance, eventually falling below the $0.292 support, the current bullish structure could be invalidated. A breakdown of this support might lead AERO to test $0.273 or even lower liquidity zones, which would negate the current recovery thesis.

Overall, AERO is at a critical juncture of a battle between bulls and bears. The macro capital inflow is a solid positive foundation, but the price still needs to overcome key technical resistance levels to confirm an upward trend.