General Context
#PENDLE 1. Recent Movement: The PENDLE/USDT asset shows a significant drop, reaching a low of $3,390 before beginning a slight recovery.
2. Current Trend:
The strong decline indicates intense selling pressure, but the price finds support in the $3.39 range, indicating a possible stabilization.
The moving averages (especially the EMA(200)) remain above the current price, signaling that the asset is in a downtrend.
Opportunities and Risks
1. Support and Resistance Zone:
Strong Support: $3.39 – If the price remains above this region, it may be a good zone for buyers to enter.
Nearby Resistances: $3.85 (EMA(21)) and $4.03 (high of the last 24h).
2. RSI and Volume:
The RSI is close to 50, suggesting a balance between buyers and sellers, but with no clear trend at the moment.
The increase in volume during the decline may indicate capitulation selling, i.e. the market may be close to a bottom.
Alternative Strategy
1. Short Term:
Wait for confirmation of the breakout of the $3.85 resistance for possible long entries.
If the price loses the $3.39 support, the next target would be a lower region (e.g. $3.20).
2. Long Term:
If the price stabilizes and starts forming ascending tops and bottoms, it may indicate a reversal.
Traders should watch the EMA(200) as a key barrier to the start of a new uptrend.
3. Risk Management:
Place stop-loss below $3.39 to minimize losses in case of further declines.