Pendle (PENDLE) has made a stunning comeback and maintains robust bullish energy. Most fundamental and technical measures confirm this bullish perspective. The altcoin shot up almost 30% over the past 24 hours, hitting $5.41, reported to CoinMarketCap. The volume surged 421% as a sign that the markets are showing strong interest and potential institutional involvement.
The stock is currently above significant moving averages. The 50-day EMA is at $4.1084, above the 200-day EMA, which is at $3.8549. The golden cross formation is normally indicative of a long-term bullish trend.
RSI sits at 66.60, showing strong momentum without being overbought. This leaves room for further upward movement. Additionally, the Awesome Oscillator turned green, reinforcing bullish sentiment across multiple timeframes. All these technical signals point to rising purchasing pressure.
On the daily chart, Pendle recently broke out from a symmetrical wedge formation and passed successfully through the $3.50 barrier afterwards. It has traded between $2.50 and $7.50 since April 2024. After initial rejection near $5, soon after the breakout, a next upleg surpassed this barrier. The current level above $5 suggests a 116% upsurge is on the cards, although the $7.50 region is still a crucial barrier.
Pendle strong on-chain activity supports rally
If Pendle maintains above $5, the bullish case remains intact. If, however, this level cannot be supported, the upside target may be negated. Such surging prices tend to correct as part of ongoing cycles in the marketplace.
Traders need to be vigilant and keep a close watch on support. The support line near the 50-day EMA at $4.00 is a decent base for potential pullbacks. Key data cements Pendle’s bullish argument.
The Total Value Locked (TVL) on the protocol increased to a whopping $7.762 billion from $2.902 billion during April 2024. The 167% increase is a reflection of increased adoption and growing confidence from the users. Rising TVL is a strong indicator of increased pricing and sustainability over the long term.
Key resistance levels are $5.57 and $7.13, representing possible price targets if momentum persists. The combination of strong technical signals, a surge in trading volume, and robust fundamentals places Pendle in a favorable position.
Institutional support is evident, as shown by the remarkable TVL increase. Investors and traders should watch these critical levels closely for future moves.
