• Pendle faces repeated rejections at $7.20, a strong resistance zone.
• The current price hovers near $5.34 with weaker trading activity.
• Support at $4.70 remains critical to maintain a bullish structure.
• The decline in open interest shows cautious participation in derivatives.

Pendle is moving in a consolidation phase, reflecting the wider crypto market trend. The market focus is on whether Pendle can escape this phase with a strong breakout.

If Pendle manages a successful push, it could unlock the path to $7.20, a key target that has capped gains in recent weeks. Over the last 24 hours, Pendle has dropped 1.98%. On the weekly chart, the token is down 2.59%, showing continued caution among traders.

At the time of writing, the token is trading at $5.33 with a daily trading volume of $101.34 million. This marks a steep fall of 60.85% compared to the prior day. Its market capitalization stands at $893.62 million, showing how much the slowdown in volume has impacted activity.

Strong Resistance Holds Back Pendle’s Momentum

According to the analyst Ali, the $7.20 level has emerged as a decisive resistance. Pendle has faced three rejections at this zone, underlining the strength of sellers whenever the price approaches this level.

Heavy profit-taking has restricted attempts to sustain gains above this barrier. The chances of a prolonged rally are still low until the bulls clear this obstacle.

Short-term price action shows rejection at $5.90, which has now flipped into minor resistance. On the downside, support at $4.70 is the key zone to watch. Holding above this level would keep the broader bullish setup intact despite near-term weakness.

Also Read: PENDLE Price Prediction 2025: Will Pendle Break $11 or Fall Below $5?

Possible Scenarios for Price Action

If buyers hold the $4.70–$5.00 zone, Pendle could mount another challenge to the $7.20 level. A daily close above this resistance would strengthen the bullish appetite and open upside targets at $8.50 and, potentially, $9.00. Such a breakout would likely attract more traders seeking confirmation that the uptrend is established.

Failure to maintain the $4.70 support could trigger a deeper correction. The first bearish target lies near $4.10, with stronger support around $3.70. A breakdown into this region would shift sentiment and weaken the broader uptrend. For now, Pendle remains range-bound between $4.70 and $7.20.

Derivatives Indicate Cautious Positioning

Open interest for Pendle has fallen by 4.40%, reducing to $153.11 million. It signals reduced speculative action, as the percentage of traders close out positions after multiple rejections. Falling OI tends to indicate a quieter atmosphere, with reduced leverage-based volatility in the near term.

Concurrently, the OI-weighted funding rate stands at 0.0076%. Long positions are in control, but not at extreme levels. Such a balanced configuration minimizes the risk of abrupt funding-led corrections, thereby indicating that cautious optimism persists in the marketplace.

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