Aerodrome Finance ($AERO) has experienced a remarkable 70% price surge within a week, bolstered by increased trader interest on Base, Coinbase's Layer-2 network. The decentralized exchange (DEX) protocol is approaching a $1 billion market capitalization, currently just $230 million shy of that milestone.
As the second-largest liquidity hub on Base, Aerodrome contributes over $1.02 billion to the platform's total value locked of $3.83 billion. The protocol processes an average daily trading volume of $500 million, surpassing Uniswap's volume on the same chain. Weekly revenue generation averages $2.68 million, projecting annualized earnings near $166 million, placing Aerodrome ahead of other notable Base-based protocols.
Institutional activity is rising, highlighted by JPMorgan's recent launch of a deposit token on Base, signaling growing confidence in the ecosystem. Moreover, Base's rollout of stablecoin checkout for Shopify merchants is expected to drive substantial transactional flows.
Technical analysis shows $AERO trading near $0.92 after a strong uptrend from the $0.60 support zone. Momentum indicators suggest a bullish continuation toward $1.41, with potential long-term price targets around $2.30. There is some risk of short-term retracement to the $0.75–$0.80 range due to overbought conditions.
Recent data further highlight $AERO reaching $0.9660, its highest level since early February, and a fully diluted valuation exceeding $1.54 billion. Aerodrome is the sixth-largest DEX by monthly volume globally, having processed $14.86 billion in the past 30 days. Monthly protocol fees surged to $19.7 million in May, underscoring growing demand and revenue.
Coinbase's announcement to support top DEXs on Base is expected to introduce Aerodrome to millions of new users, while futures open interest has hit a record $52.9 million, signaling deeper liquidity and heightened market engagement. Technical patterns and growing institutional and user adoption all support continued bullish momentum for $AERO.