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PancakeSwap Price Analysis: CAKE Coin on the threshold for another 17% rally

  • CAKE Coin has reclaimed the support cushion of $15.5 to validate the double bottom pattern
  • The press time price of CAKE/USDT is $17.35 established on the back of a 6.8% increase in the past 24 hours
  • PancakeSwap amongst the top two Dapps to boast most users across Defi

CAKE Coin respecting the Double Bottom pattern formation on the Daily Chart

CAKE/USDT on TradingView

CAKE Coin accomplished gains worth 55% after reclaiming the support cushion of $11.2. The massive jump gave rise to a nonstop bull rally with only two minor setbacks. CAKE kickstarted the month of August by flipping the resistance of $15.5 as a reliable support cushion. As evidenced by today’s bearish start, the price action is attempting to re-inspect the neckline of the Double Bottom Pattern, which is also bolstered by two critical Exponential Moving Averages. 

The reclamation of the $15.5 support cushion will perfectly validate the textbook definition of a Double Bottom pattern. However, on the off chance that the price bounces from the support of the 100 EMA, investors can expect a bullish crossover between the 20 and the 50 EMA. 

The Daily Stochastic RSI has been worn out as evidenced by the flattened curve of the %K line (96) and the %D line (97). This projects that a minor pullback is ideal for bulls to establish the last leg of the W Formation. 

Nonetheless, CAKE bulls should brace themselves for a 17% rally ahead as suggested by the bullish volume on the Daily Chart. The daily volume has been on a winning streak since the uptrend of July 21st, except for the two setbacks. 

PancakeSwap farm auction rally uninterrupted, more CAKE to get burnt?

Following the success of the first farm auction that contributed to burning a total supply of 57,380 $CAKE, the platform is all set to conduct the allocations for the next auction. On the grounds of these burnouts, the price of CAKE Coin is bound to challenge new highs in the upcoming days. 

August seems like an exciting time to be holding CAKE tokens as the Pancake Swap has claimed to propose the largest ever CAKE emissions cut possible. The network often performs these proposals on reducing emissions to help their quests become emission neutral. While the details are still scarce, the network has taken to Twitter to ensure that the largest emission cut will be conducted with the lowest possible impact on high-value farms. 

SUPPORT : $15.5

RESISTANCE : $18.7

Categories: News
Nancy J. Allen: Nancy J. Allen is a crypto enthusiast and believes that cryptocurrencies inspire people to be their own banks and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning.