Pendle Price Breaks Below $2? Arthur Hayes Flee Signals Bigger Drop Ahead

The cryptocurrency market retains its bullish outlook for the second half of September as Bitcoin rigorously makes an attempt to reclaim $60,000. Together with most main altcoins, the Pendle worth showcased a notable uptick throughout Monday’s buying and selling session to hit a 50-day excessive of $3.68. Nevertheless, this restoration is in danger amid bear sample formation and promoting stress from massive holders.

Whale Holders Slash Pendle Holdings Amid Worth Drop

Arthur Hayes, the founding father of BitMEX and outstanding crypto dealer, not too long ago offered 350,000 PENDLE tokens at a lack of $1.26 million. In keeping with information from Lookonchain, Hayes initially bought 392,911 PENDLE tokens for about $2.2 million at a median worth of $5.6 via the liquidity supplier Wintermute from Might 20 to June 21, 2024.

Nevertheless, the Pendle worth plunged over 40% within the subsequent three months, prompting Arthur to exit his place at a complete lack of $790k.

Arthur Hayes(@CryptoHayes) offered 350K $PENDLE($1.26M) at a loss prior to now hour.

He purchased 392,911 $PENDLE($2.2M) at ~$5.6 via #Wintermute from Might 20 to June 21.

3 months later, $PENDLE dropped by over 40%, prompting him to promote at a complete lack of $790K (-36%).… pic.twitter.com/muuiX67m9M

— Lookonchain (@lookonchain) September 20, 2024

As well as, the Santiment analytics present a declining pattern in massive holders’ positions since March 2023. The chart beneath highlights that whale wallets between 1 Million to 10 Million Pendles have diminished their holdings to 37.05 million cash.

Sometimes, the exit from good cash merchants alerts the potential of prolonged correction and negatively impacts the market sentiment.

Pendle Coin Hints Short-term Rally With Bear Flag

Within the final six weeks, the Pendle worth confirmed a sustained restoration from $1.82 to $3.55— a 95.44% enhance. Whereas the upstream was backed by Fed rate cut hypothesis, the worth consolidation inside two rising trendlines revealed an inverted flag sample.

This chart setup shows a protracted ‘pole’ representing the main downtrend and two converging trendlines to point a brief counter-trend transfer. With a market cap of $3.2 billion, the Pendle worth at present trades at $3.56 and faces overhead provide on the 200-day exponential transferring common.

If the sample holds, the coin worth may tumble 15.5% and break the decrease assist trendline at $3. A post-breakdown fall may speed up the bearish momentum and prolong a 40% downfall to $1.82 assist.

Quite the opposite, if the Pendle worth manages to reclaim the 200-day EMA and breach the converging trendline on the upside, the patrons may try and retest $4.8 degree.

Incessantly Requested Questions (FAQs)

If PENDLE breaks beneath the crucial $2 assist degree, it may sign a deeper bearish pattern. This breakdown may set off accelerated promoting stress, probably resulting in an extra decline towards the $1.82.

Arthur Hayes offered 350,000 $PENDLE tokens at a loss, signaling a big bearish transfer. His exit, mixed with decreased whale holdings, suggests the potential for an prolonged correction available in the market.

A breakout above the 200-day EMA and the converging trendline may invalidate the bearish outlook