- Pendle defies major sell-offs, surging 64% in two weeks despite Hayes offloading 1.59M tokens worth $5.62M.
- Supply drop on exchanges boosts Pendle’s price, recovering amid market optimism and key technical breakouts.
- Hayes trims position but Pendle rallies, signaling strong market demand and resilience against selling pressure.
Pendle, a prominent cryptocurrency, has recently shown a notable price resilience despite significant sell-offs by major holders, including Arthur Hayes, co-founder of the BitMEX exchange. Over the past two weeks, Pendle has experienced a remarkable recovery from $2.48 to $4.08, marking a 64% increase. This surge comes amid broader market recovery signals and defies substantial selling pressure from influential market players.
According to data from lookonchain, Hayes offloaded 1.59 million Pendle (PENDLE) tokens, fetching approximately $5.62 million at an average price of $3.52 per token. Despite his substantial sales, the Pendle market displayed notable resilience. Following Hayes’ transactions, the price of Pendle not only stabilized but surged by 24%, indicating strong buyer interest and market confidence in the token’s value and potential.
Arthur Hayes(@CryptoHayes) sold 1.59M $PENDLE for $5.62M at an average price of $3.52 over the past 2 days.
After his sell-off, the price of $PENDLE surged by 24%, making the 1.59M $PENDLE worth $6.91M now.
His sell-off resulted in a loss of ~$1.29M! pic.twitter.com/IWvDTrc0Qt
— Lookonchain (@lookonchain) September 22, 2024
Pendle’s Price Boosted by Market Trends
The recovery trend for Pendle was further bolstered by speculative cuts to U.S. Federal Reserve rates, which provided an optimistic backdrop for the cryptocurrency market at large. A key technical breakout from a rising wedge pattern also contributed to reinforcing buyer confidence. Currently, Pendle’s price movement is consolidating above significant technical benchmarks, including the 100-and-200-day Exponential Moving Averages (EMAs), signaling a positive shift in market sentiment.
Moreover, the supply dynamics on exchanges have also played a crucial role. Santiment data reveals a sudden drop in Pendle’s supply on exchanges from $37.58 million to $32.73 million during a recent Sunday trading session. Historically, such reductions in exchange supplies have supported price recoveries by decreasing market selling pressure and bolstering buyer activity. This pattern was observed when Pendle formed its August 2024 bottom at $1.8.
Pendle’s Strengths and Growth Potential
Looking forward, the technical analysis suggests that if the bullish momentum persists, Pendle could potentially extend its rally, targeting the next resistance level at $4.78. This would represent a 17.5% increase from its current position. However, the market must watch for potential retests of the breached trendline, which could signal a return to the wedge pattern and renew corrective pressures.
Arthur Hayes’ recent actions contrast with his public bullish stance on Pendle, where he predicted the token could surpass $10. Despite the massive sell-off, which theoretically could have led to price declines, Pendle’s price resilience highlights strong market demand and positive sentiment toward the asset. Hayes, who still holds a significant amount of Pendle tokens, mentioned trimming his position for a “special situation,” suggesting strategic rather than pessimistic motives behind his sales.
The role of major holders like Hayes will continue to influence Pendle’s market dynamics, introducing elements of unpredictability. Nevertheless, the strong performance of Pendle, marked by increased volume and price appreciation despite notable sell-offs, underscores its current market strength and the continued investor appetite for the asset.
