PancakeSwap (CAKE) and Uniswap (UNI) Technical Analysis: What’s Next?
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PancakeSwap (CAKE) and Uniswap (UNI) Technical Analysis: What’s Next?

June 5, 2021      Dalmas Ngetich

Uniswap and PancakeSwap prices are bottoming up as UNI/USDT buyers set sight on $40. CAKE bulls, on the other hand, expect a buy trend continuation towards $27.

Uniswap (UNI)

The governance token of the world’s largest DEX, UNI, gives control of the protocol to network users. Uniswap traders vote on proposals, contributing to the project’s evolution.

Past Performance of UNI

At press time, the UNI price retains its uptrend.

Although bulls are under pressure, bogged by determined sellers, they remain in control, absorbing efforts to unwind gains.

The UNI price is up five percent on the last trading day despite shrinking trading volumes which fell 29 percent to $437 million.

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Day-Ahead and What to Expect

Technically, UNI sellers have the upper hand considering the stagnation of price action inside the May 19 bear bar.

From a Volumes Analysis perspective, this places bears at an advantage.

However, there are concerted efforts from participants in the last two weeks.

The result is a double bar bullish reversal pattern, and absorption of sell pressure as UNI buyers aim to unwind losses and print above $40.

UNI/USDT Technical Analysis

Uniswap Price Daily Chart for June 5

Reading from price action in the daily chart, UNI bulls are firm.

Over the last month of trading, sellers might be in control. However, the confirmation of the double bull reversal pattern of May 23 and 24 may be the founding blocks for gains towards $40.

Accordingly, every low may technically be a buying opportunity for UNI bulls targeting $40.

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Losses below $20 could see UNI prices crash towards $10.

PancakeSwap (CAKE)

PancakeSwap primes the largest DEX in the Binance Smart Chain (BSC) ecosystem. The governance token incentivizes liquidity provision in the protocol.

Past Performance of CAKE

Reading from developments in the daily chart, CAKE is moving in lock-step with the performance of most DeFi tokens.

CAKE is up 11 percent and 32 percent week-to-date versus the USD at press time, outperforming BTC and ETH during the same period.

Day-Ahead and What to Expect

The conspicuous bear bar of mid-May could mark the climactic sell-off of CAKE after pronounced losses from April.

Therefore, a reversal, as CAKE/USDT technical analysis from the daily chart signals strength and even a CAKE bottoming up.

CAKE/USDT Technical Analysis

PancakeSwap Price Daily Chart for June 5

Buyers are unwinding losses of June 4, in line with the reversals of late May 2021.

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Technically, every low may be a loading opportunity for aggressive CAKE buyers targeting $27.

On the flip side, contraction with rising volumes below $15 may see prices trickle down to $12 in a bear trend continuation set by May 19 rapid sell-off.

#CAKE #CAKE/USDT #DeFi #PancakeSwap #UNI #UNI/USDT #Uniswap
Dalmas Ngetich
Dalmas Ngetich

Dalmas has been passionate about the blockchain and crypto space ever since he’s heard about it. As someone who’s been closely following the trends in the crypto space, Dalmas is excited about what lies ahead in this niche and is all set to explore it. While he’s been advocating crypto adoption for a number of years, he’s himself a HODLer, which makes his voice authoritative and credible.