Pendle’s bearish trajectory has continued to suspend amid the latest price growth. This positive action has changed the market landscape as it currently leads the daily altcoin rally with 24% gains since yesterday.
Pendle’s price action is still within the bearish zone on a mid-term but its market structure appeared to be changing on the daily chart following a steady growth in the last three weeks. This growth, which was triggered by a major bounce off the $1.8 low in August, is now turning bullish.
As shown on the price chart, Today’s surge marks the asset’s biggest daily buy volume since May 20. From the look of things, the price may pullback as it rejects the $4.5 level that triggered a breakdown in July.
This pullback may form a complete bullish reversal pattern – an inverse head-and-shoulder pattern – before breaking significantly out of its neckline at $5. Such a setup is capable of bringing a full recovery in the market. But as of now, the bulls are facing small hurdles.
The bears are currently off the market. If they return, they must reclaim August’s low before one can consider a continuation move. Currently, Pendle is the most-trending token and the third daily largest gainer in the Real World Assets (RWA) industry as per Coingecko’s data.
Pendle’s Key Level To Watch
Source: Tradingview
If this asset continues to post gains, July’s $4.8 high would be the next stop for the bulls. A significant push above this high could shot the price at $5.5 and the $6.28 resistance level – marked as June’s high.
The close level for a potential pullback lies at the $3.6 support. If this support fails to contain drops, the lower level to watch next would be $3.1. Right below this level lies the monthly $2.5 low.
Key Resistance Levels: $4.8, $5.5, $6.28
Key Support Levels: $3.6, $3.1, $2.5
Spot Price: $4.3
Trend: Bullish
Volatility: High
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
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