CAKE Approaches Major Resistance Zone, What’s Next?

pancakeswappancakeswap
  • CAKE price has risen 23% over the last week
  • CAKE Price has been respecting an ascending channel the last 2 weeks
  • 30MA continues to hold as support

Pancake Swap (CAKE) has been a laggard over the last few weeks as it has still yet to break over its major resistance zone (shown in grey). After much hype around this platform in April & May, the talk has since died down, along with the price. With the general market flashing bullish signs the last few weeks, we can assume CAKE will soon make its way higher to levels traded at earlier this year. The technology along with CAKE price brings great utility & as long as the usage of the platform continues, the price will reflect it.

Over the course of the last month, CAKE price has firmly bounced twice off its major support of $11.00. This printed a clear cut double bottom, which is bullish sign that prices will not go below that mark for some time. CAKE price has been stuck within a bullish ascending channel the last few weeks that has brought prices up nearly 62% from its low set in late June.

Bulls must now break & hold the major resistance zone of $17.20-$18.20 to really see some large price spikes. 

Pancake Swap Price Analysis: CAKE/USDT 4 Hour Chart

Live Chart

TradingView Chart Snapshot

Throughout the ride from $12.00-$17.50, CAKE price has been held up by the 30MA. This mark is good to reference over the next few days as a break below this will likely trigger a short term bearish trend change. This MA is also near the bottom trend line of the ascending channel. Both of these marks must hold or CAKE will revisit $15.66 & below. 

While looking at the RSI, we can see that strength has been hangin out above the 50 value, continuously peaking into the overbought territory. For the past few weeks, the RSI has been holding above a support line which is shown in black. Strength must continue holding this support to be in position to break over the major resistance zone. The MACD has been trending sideways for nearly 15 days which indicates some bigger move is on the horizon. A break to either side will trigger price to follow.

CAKE Intraday Analysis

  • Spot rate: $17.58
  • Trend: Bullish
  • Volatility: High
  • Support: $15.66
  • Resistance: $18.25

The post CAKE Approaches Major Resistance Zone, What’s Next? appeared first on Coingape.

Publication date: 
08/06/2021 - 10:43
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