CAKE Price Consolidates Within Ascending Channel, Eyes Breakout to $28
CAKE Eyeing Breakout to $28?
Pancakeswap (CAKE) price has been in a strong uptrend for nearly a month. The rest of the cryptocurrency market has been going berserk as many coins have been surpassing their all time highs. CAKE price has been working its way up to its major resistance zone ever since the start of August. Compared to other coins in its class, CAKE has yet to fully breakout and experience a parabolic push. As long as BTC stays steady, CAKE should soon experience a large parabolic push back near $30.
Shown in light blue, we can see how price has respected the ascending channel extremely well over the last month. It has kept price very tight with little swings. Each time CAKE has touched either trend, it has gotten pushed to the opposite. At the time of writing, CAKE price is attempting to breakout of the top trend line of its channel.
Along with this top trend lies the major resistance area found at $24.56-$26.53. If bulls manage to clear this zone along with the top trend line, we may see CAKE surge to its given targets.
Pancake Swap Price Analysis: CAKE/USDT 4 Hour Chart
Consolidation within this resistance zone is likely to occur as its one of the largest areas to break for CAKE to go parabolic. In this case it fails to hold this resistance zone, price will first find support at the bottom trend of its channel. This area is also near a major support level of $22.98. If bears push price down to this level, there will likely be some type of bounce. In addition to these two supports lie the 50MA. This MA has held price up for a month. If at any time CAKE breaks below this, expect a downtrend to occur.
While looking at the Stochastic RSI, we can see that strength is hanging out within the over bought territory. CAKE must break out of its channel soon or it will begin to lose strength. Breaking below the 80 value will likely cause a retracement to occur. The RSI has been attempting to break a downtrend line for many weeks now. For CAKE to really see some explosive growth, price must fully break this downtrend line & aim towards the overbought region.
CAKE Intraday Analysis
Spot rate: $25.33Trend: BullishVolatility: HighSupport: $24.56Resistance: $26.53