CAKE is currently consolidating after a sharp 28% drop earlier in December, setting the stage for potential liquidity sweeps and reactive plays.
🔼 Upside Scenario
Stop Hunt Setup: Price is pushing toward stops above the Dec 29 high at $1.920. A sweep here may provide bulls a clean exit or set up a reversal.
Key Resistance: Watch the $1.9775 level – the top of the unfilled bearish daily gap from Dec 17, aligned with the 18-day EMA, creating technical confluence.
Extended Bull Case: If momentum continues and BTC stays strong, price may target the Dec 15 gap at $2.0843. This zone marks the next major upside liquidity area.
🔽 Downside Scenario / Support Zones
Immediate Support: Around $1.8665, particularly if Monday’s low holds above Saturday’s high, forming a bullish daily gap.
Rejection Zone: Multiple bearish rejections since Dec 20 reinforce this support area.
Deeper Pullback:
Equal lows at $1.7890 and $1.7670 could become bearish targets.
$1.7943 (Dec 18 rejection) may act as a reaction level for bulls.
Below $1.7670, next structural supports are weak until $1.7200 and $1.7000, which are psychological levels where bulls may step in
