- PancakeSwap has shed 11% from the day gone by’s native excessive.
- One other worth drop of as much as 7% may begin within the coming hours.
PancakeSwap [CAKE] bulls had been unable to defend the $2.55 help, however they’ve performed effectively over the previous two weeks to drive costs increased. The robust positive factors made on the seventeenth of March left a good worth hole on the 1-day chart.
Clues from this FVG, the vary formation, and the liquidation heatmaps outlined help ranges the place a bullish reversal may ensue.
PancakeSwap has a bullish outlook, however…
Supply: CAKE/USDT on TradingView
PancakeSwap has been buying and selling inside a spread formation since early 2025. It was highlighted in purple and prolonged from $1.37 to $2.94, with the mid-range degree at $2.16.
The robust worth transfer on the seventeenth of March, alongside the best every day buying and selling quantity in 4 months, was being retraced at press time.
It was anticipated that CAKE would check the $2.94 vary highs and presumably the spherical quantity resistance at $3. Nonetheless, the bears compelled a rejection at $2.85 over the weekend.
The value transfer additionally left behind a large truthful worth hole, outlined in white. Within the coming days, with the drop under the $2.55 help, a transfer to the mid-range help at $2.16 was extremely possible.
The OBV has been in a powerful uptrend over the previous two weeks, climbing above the February highs. The Superior Oscillator additionally underlined agency upward momentum. Therefore, it was possible that the present retracement wouldn’t prolong under $2.16.
Ranges to be careful for
Supply: Coinglass
The 1-month liquidation heatmap mirrored the short-term vary that CAKE had shaped between the $2.22 and $2.84 ranges throughout the aforementioned 3-month vary. The heatmap confirmed a cluster of liquidity at $2.36, just under the present market worth.
One other liquidity pocket at $2.22 was additionally seen on the heatmap. Due to this fact, these had been the degrees the place a bullish reversal may ensue. The $2.22 degree represented final week’s lows, however the mid-range degree was a sound short-term worth goal primarily based on the value motion.
Due to this fact, merchants seeking to go lengthy on CAKE ought to watch the token’s response on the $2.22 and $2.15 ranges.
A surge in bullish momentum and buying and selling quantity spikes on the decrease timeframe charts after a CAKE retest of those help ranges would suggest a bullish reversal in progress.
Disclaimer: The data offered doesn’t represent monetary, funding, buying and selling, or different forms of recommendation and is solely the author’s opinion
