Pendle Price Eyes $5 Rally as Major Support Holds Against Whale Sell-Off

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As an experienced analyst, I’ve seen my fair share of market consolidation trends in the cryptocurrency space. The recent sideways action in the market, with Bitcoin attempting to rebound above $58,000 and altcoins seeking local bottoms, is a common occurrence during periods of reduced supply pressure. However, the price action of Pendle over the past week has been particularly noteworthy.

Over the past few days, the cryptocurrency market has displayed a pattern of consolidation, with digital assets attempting to regain their footing following a period of heavy selling. During this time of sideways movement, investor sentiment showed a slight improvement on Monday, resulting in a 4% increase for Bitcoin, pushing it back up to $58,200. The altcoin market is taking advantage of the decreased pressure from supply, using it as an opportunity to establish local bottoms. An illustrative example of this can be seen in the Pendle coin’s price action, which is attempting to find support at a significant trendline that has been ascending for several months, potentially signaling an upcoming rebound.

Pendle Price: Whale Transfers $3.8M Worth of Pendle to Binance

Pendle Price Eyes $5 Rally as Major Support Holds Against Whale Sell-Off

As a crypto investor, I’ve noticed that Pendle coin took a turn for the worse during the first week of July. The price plummeted from around $5 to hit a low of $3.2, resulting in a hefty loss of 36.6%. This downtrend came with the unfortunate loss of some key technical support levels, such as the 23.6% Fibonacci retracement, the 200-day moving average, and the $3.8 mark. To add to the bearish sentiment, there was a noticeable sell-off by large investors or ‘whales’.

In spite of this setback, the selling pressure on Pendle failed to gain momentum, and the price rebounded at the support level of approximately $3.5, attracting fresh buying interest.

An in-depth examination of on-chain transactions conducted by Lookonchain revealed a notable shift of over 1.1 million PENDLE tokens, equivalent to roughly $3.8 million, from an influential investor to Binance today. It’s assumed that this transaction was made with the intention of selling the tokens. Following this transfer, the whale now holds approximately 1 million PENDLE or around $3.5 million in value.

As a researcher studying cryptocurrency transactions, I’ve come across an interesting observation. Within the past hour, a whale has moved 1.1 million dollars worth of $PENDLE (equivalent to around 3.8 million dollars) from their wallet. Indications point towards this amount being deposited into Binance for potential sale. Now, the remaining balance in the whale’s wallet stands at 1 million dollars worth of $PENDLE (approximately 3.5 million dollars).
As a researcher studying whale activities in the crypto market, I discovered that between February 9 and April 27, 2023, this particular whale spent a total of $3,440,000 on purchasing $PENDLE tokens from both centralized exchanges (CEX) and decentralized exchanges (DEX). The average price paid for each token was remarkably low at just $0.32.
— Lookonchain (@lookonchain) July 8, 2024

As an analyst, I’ve examined the data from Lookonchain and discovered that I personally identified a significant whale who amassed a total of 3.44 million PENDLE tokens between February 9 and April 27, 2023. These tokens were acquired through both centralized and decentralized exchanges. The average price at which these tokens were bought was remarkably low, sitting at just $0.32 per token.

Smart money traders may be shedding their positions in Pendle stock recently, potentially signaling they expect minimal price growth and seek to secure gains.

Since October 2023, the previously mentioned support trendline in Pendle has held firm, forming a consistent pattern of higher lows. This indicates that buyers have been actively accumulating the asset.

If the market holds its ground, purchasers may regain control over the 200-day moving average at around $200, potentially leading to a price increase towards $5. Surpassing the current resistance level would be an essential step in indicating a new upward trend.

Technical Indicator:

  • Exponential Moving Average: A potential bearish crossover between the 50-and-100-day EMA could prolong consolidation above the long-coming support.
  • Moving Average Convergence Divergence: A bearish crossover state between the MACD and signal line highlights the price action is yet to develop as a suitable reversal sign.

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2024-07-08 16:06