CAKE token price analysis: CAKE token price getting ready for a sprint race.
- The CAKE token price is hovering around the supply zone on a daily time frame, following the choppy moves in the overall cryptocurrency markets.
- The token price is forming a symmetrical triangle pattern on a daily time frame.
- The pair of CAKE/BTC is trading at the price level of 0.0002325 with a decrease of -0.97% in the past 24 hours.
According to the price activity, the CAKE token price is nearing a tipping point. After progressively bouncing off the demand zone, the token price is now trading in the supply zone. On a daily basis, the token price is producing higher high and higher low shapes.
At the moment, the token price has managed to stay in the supply zone as it has begun to consolidate. Despite recent bearishness in the cryptocurrency market, the CAKE token has managed to maintain its position above the long-term demand zone. On a daily time frame, the token price is forming a continuation chart pattern.
The 50 and 100 moving averages are below the CAKE token price currently. Since the token price broke significant MAs in the past, it has been trading below the MAs. As it rises, it can be seen that these MAs are exerting significant bearish pressure on the token price. After failing to surpass the supply band, the price of the CAKE token is currently trading at the lower band of the Bollinger band indicator. As the token price consolidates, volumes have been consistent.
The CAKE token price is forming a symmetrical triangle pattern on a 4-hour time frame
Supertrend: The CAKE token price has turned bullish as it managed to bounce off the demand zone forming a strong bullish candlestick pattern on a daily time frame. Recent bullishness resulted in the CAKE token price rising above the important short-term demand zone. Previously the CAKE token price was resting in the super demand zone. As the token price rose to the super trend sell line it faces rejection. As of now, the token price is consolidating, and the breakout of the symmetrical triangle will result in the super trend indicator triggering a buy signal.
Moving Average Convergence Divergence: Recent movement in the price of CAKE tokens seems to be bullish on the weekly time frame as the MACD indicator has triggered a positive crossover. The orange line crossed the blue line on the upside indicating bullish momentum in the upcoming days. If the token price can sustain above the current short-term demand zone, then the MACD indicator can be seen moving higher. If the CAKE token price fails to hold the current price levels and falls below the demand zone, the MACD line can be seen triggering a negative crossover.
Average Directional Movement Index: The CAKE token price has been on a rise for the past couple of days and recently it started consolidating near the supply zone. As a result the ADX curve also fell, depicting the consolidation. Moving upwards if the token price can sustain above the demand zone, the ADX curve can be seen dipping out of the 25 mark, as the token price breaks the supply zone. If not, then the token price can be seen falling leading to the ADX curve falling further.
Conclusion: The CAKE token price is hovering around the supply zone on a daily time frame. As per the price action, the token price is forming a continuation chart pattern. The technical parameters are indecisive due to sideways movement. It remains to see if the token price will break the chart pattern on the upside or break the demand zone.
Support: $3.58 and $3.15
Resistance: $4.38 and $4.20
The views and opinions stated by the author, or any people named in this article, are for informational ideas only, and they do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.