PancakeSwap Price Analysis: Will CAKE Price Show Range Expansion?
- 1 PancakeSwap price holds the $2.00 level and rose by 6.88% in the current month.
- 2 CAKE price is consolidating in the narrow range after the $2.00 breakout.
- 3 The EMAs in the CAKE crypto displayed a golden crossover.
PancakeSwap price prediction suggests a rise in the short run and may show a decent bounce from the lower levels. It is forming a mildly bullish pattern and buyers are trying their best to hold the recent gains.
At the beginning of November, the CAKE price broke out of the $2.00 hurdle with a high volume. This upmove gained the attention of existing investors and created hope for a reversal.
After a few days of rally, PancakeSwap price lost the bullish momentum near $0.2854 and entered a consolidation.
At the time of the breakout, the sudden rise in the buying volume is visible. It seems that the recent upmove is a mixture of genuine buying and short covering.
The 50-day EMA positively intersected with the 200-day EMA which displayed a golden crossover. But the price did not react much and continued to trade in the range.
Previously, buyers tried twice to break the $2.800 hurdle and expand the range upward. But the attempt failed and the price was thrown back to range indicating sellers are active on the higher levels. Luckily, buyers are active at the lower range and are successfully defending it.
Will PancakeSwap Price Breakout of the $3.00 Hurdle?
Source: CAKE/USDT daily chart by Tradingview
PancakeSwap price is trading with a mild bullish bias and buyers are trying to give follow-up momentum.
Meanwhile, the overall crypto market is also bullish and BTC hitting YTD highs. So, the CAKE price may be positively impacted in the coming weeks.
The next direction will be visible when buyers can break the $2.800 hurdle. Till then, the price is expected to continue the consolidation and form a base.
The analysis suggests till PancakeSwap price sustains above the 50-day EMA the possibility of the $3.00 breakout is high. Therefore, bullish traders may look to the scalp to generate short-term gains.
CAKE Price Forming a Bearish Hammer Candle
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CAKE price is forming a bearish hammer candle on a weekly chart. It shows that sellers are active so it will be difficult for the bulls to dominate on higher levels.
The MACD curve sloping sideways denotes price may spend some more time in the range. The supertrend favors the bulls and suggests, that till the CAKE price holds $1.951, the trend will remain upward.
The RSI at 56 near the neutral territory indicates an equal level of tug-of-war between buyers and sellers.
PancakeSwap price prediction favors the bulls and suggests a rise in the short run. The next direction in CAKE crypto will be visible when buyers succeed in breaking the $2.800 hurdle.
The analysis suggests that till the price sustains above the 50-day EMA, the probability of a breakout and range expansion remains high.
- Resistance levels: $2.854 and $3.200
- Support levels: $2.127 and $1.774
The views and opinions stated by the author, or any people named in this article, are for informational purposes only. They do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
Steefan George is a crypto and blockchain enthusiast, with a remarkable grasp on market and technology. Having a graduate degree in computer science and an MBA in BFSI, he is an excellent technology writer at The Coin Republic. He is passionate about getting a billion of the human population onto Web3. His principle is to write like “explaining to a 6-year old”, so that a layman can learn the potential of, and get benefitted from this revolutionary technology.