CAKE Price Analysis: Why Did Sellers Overwhelm CAKE Chart?

• 1 CAKE is currently trading at $1.414 while seeing a change of 58.72% in the 24-hour trading volume.
• 2 CAKE price recorded a decline of 19.48% in the last 24 hours.

The price of CAKE token is currently facing severe selling pressure in the market. Investors’ sentiments presently seem to be moving in a panic mode within the extreme fear zone according to the price action. After breaking its trend line with a strong red engulfing candle near end-April, the price is seeing a major selloff of 54% that occurred within the last two months.

Previously, it was predicted that the price of CAKE is due for a correction as the market was trading in the oversold region. It was estimated as the price has not taken a retest within the previous days a short bullish rally before recommencing the trend.

The current value of the Cake token is $1.414 and it has a market cap of $287.62 Million observing a slight surge within the past few days.

Rise of Bullish Sentiments in CAKE Price

Source: CAKE/USDT by LuanrCrush

Presently, the price is encountering strong bearish influence. Investors regarding the CAKE price are seeing a surge in negative sentiments within the past few weeks. The total Bullish Sentiment metrics have declined by 58.75%. The buyer’s bearish opinions also seem to create an effect on the price action.

The cause of the bearish fall in the price movement may be because of the decline in the major cryptocurrencies.

Technical Analysis of CAKE Price

Source: CAKE/USDT by TradingView

The RSI line is currently providing a bearish interception to the 14 SMA line. The current value of the RSI is 28.45 points which is trading below 14 SMA. The value of 14 SMA is 33.62 points. The making of a slight curve in the RSI line is suggesting. As the RSI line is moving near an extremely oversold level there is a slight possibility that the price may make a positive reversal.

The stochastic RSI is steadily approaching the oversold level, making a double top. The %K is giving a negative interception to the median line. At present, the value of the stochastic RSI is 25.59 points.

Conclusion

According to the analysis, CAKE’s price is facing severe selling pressure at present. The stochastic RSI and RSI oscillators are steadily approaching the oversold level on the daily timeframe. Investors’ sentiments regarding the price are seeing a negative surge.

Technical Levels:

Support –$2.000

Resistance – $1.300

Disclaimer:

The views and opinions stated by the author, or any people named in this article, are for informational purposes only, and they do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.

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