Cake Price Analysis: Cake in the testing phase of the resistance zone of the parallel channel

• Cake Token has been on a bearish parallel channel on the daily chart
• The coin is currently making attempts to break out of the resistance zone
• The coin is testing the resistance zone of the descending triangle pattern on the hourly chart

Cake Token has been on a bearish parallel channel on the daily chart for the last two quarters almost. The coin has multiple attempts to break out from the channel during these months but failed in all such attempts. The coin has formed new support at $ 7.00 after failing the crucial long-term, well-tested support zone at $ 10.70. The token is consolidating along the new support zone and is nearing the resistance zone of the bearish channel. It remains to be seen if the token breaks the resistance or resumes trading in the channel. 

Cake Token is testing the resistance zone of the downward trend on the hourly chart. The token has been using a downward sloping trendline as resistance and a support zone at $ 7.70 for forming the descending triangle pattern. The token is at a crucial price point at the moment as it is testing the previous support it broke and also the resistance trend line. It remains to be seen over the next few trading hours if the token is able to break the resistance. 

– Advertisement –

ALSO READ: JP Morgan Private Bank strategist believes he is late to the crypto party

Conclusion:

Cake Token is testing the resistance trends on the daily and hourly chart and it remains to be seen over the next few trading hours if the coin will break out of the bearish trend. Traders can look out for key levels before making trading decisions.

Support: $ 7.70

Resistance: $ 10.70

DISCLAIMER: 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 any financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.