CAKE Token Enters New Bull Cycle, Good Buying Opportunity Ahead

• Santiment analyst Clementllk opined that CAKE’s price was approaching a good buying opportunity.
• Clementllk assessed CAKE’s movement on a price chart and found that the native token of the leading decentralized finance protocol was forming a shark pattern.
• CAKE commenced the 2023 trading year with a new bull cycle, a price movement assessment on a daily chart revealed.

The cryptocurrency PancakeSwap’s CAKE token is seeing bullish signs as it enters the new trading year. A recent assessment of the altcoin revealed that the native token of the leading decentralized finance protocol (DeFi) on BNB Chain was forming a shark pattern. This pattern historically indicated a high success rate for buying opportunities, as per Santiment analyst Clementllk.

Clementllk assessed CAKE’s movement on a price chart and found that it had reached a technical price pattern. If the token hits the price mark of $3.45, the pattern will be successfully triggered, providing a good buying opportunity for investors. The analyst also assessed CAKE’s Market Value to Realized Value (MVRV) ratio using two formulas, including the {(MVRV 90d / 30d)-1} and (MVRV 30d-MVRV180d). While the first formula returned a negative MVRV ratio, the latter returned a positive value. Clementllk opined that this could be a „potential buying opportunity“ for the investors looking to ape in on the altcoin.

Moreover, a look at the position of the Moving Average Convergence Divergence (MACD) line relative to the signal line confirmed that the altcoin was beginning a new uptrend. This was validated by CAKE’s price growth, and as of this writing, the token’s (MVRV30d-MVRV180d) remained positive at 0.11, as per data from Santiment.

All in all, the analysis of CAKE’s price chart, combined with the positive MVRV ratio, suggests that the token is entering a bullish cycle. This could be a good buying opportunity for investors looking to invest in the altcoin.