- Pancake swap overcomes important resistance area.
- The next resistance is at the $5.0 mark.
Pancake swaps (CAKE) were bullish when bitcoin faced resistance in early February. The crypto market appears stable after a recovery and buyers are getting motivated for the latest investments in the market while CAKE token revealed a break above the December bullish hurdle.
Three consecutive bullish candles show strong empowerment of market bulls and another bullish open above $4.1 area will give fuel to hit the next wall near $5.0. For the time being, traders should try to hold CAKE coin for the next rally, but this will again include retracement steps.
https://www.tradingview.com/x/dWA2cXCe/The CAKE token is influencing Bitcoin as the correlation remains around the 0.81 level. A further increase in BTC price will push PancakeSwap price towards $5.0. But a minor retracement could happen at $4.5 as there was a sharp sell-off at this level in early November.
Amidst the bullish momentum, buyers followed up with buying on the decline as suggested by previous price action. Thus this can be a favorable opportunity for the bulls. Specifically, the recent top at $4.321 could act as an immediate resistance until it breaks.
The trading volume is also sufficient to maintain a sustainable move in the market. Impossibly high growth requires more purchasing power, so more accumulation will open the door for retail investors in the market.
Final ThoughtsAs long as pancake swaps (CAKE) price sustains above the $4.0 area, the upside potential will increase. And this accumulation may achieve the $5.0 resistance by the end of this month.