CAKEUSDT 1W

After enduring a brutal multi-year downtrend since 2021, CAKE/USDT is now showing clear signs of a possible major trend reversal. The weekly chart is forming an extremely compelling setup, with the price testing the upper edge of a long-term descending trendline, signaling a high-probability breakout scenario.

Multi-Year Downtrend Nearing Its End

The yellow descending trendline drawn from the 2021 all-time high has served as a strong resistance for over 3 years.

Price is now trading just below the trendline, teasing a breakout.

A clean breakout above this structure would mark the transition from distribution to re-accumulation - a key signal for long-term bulls.

Pattern Structure & Key Zones

Descending Triangle Breakout in progress: This classical pattern often indicates a major reversal, especially after a long period of consolidation.

Breakout Trigger Zone: 3.45-4.18 USDT

Validation Zone (Confirmation Resistance): 4.75 USDT

Mid-Term Target Zone: 10.04 - 12.84 USDT

Long-Term Targets (If momentum continues): 24.75-40.86 USDT

Bullish Scenario

If weekly candles close convincingly above the 3.454.18 USDT range:

A breakout confirmation would be in place.

Price could rally +200% to the 10-13 USDT region in the mid term.

If that resistance breaks, the next leg could reach 24-40 USDT, in line with previous cycle recovery structures.

Strong altcoin sentiment and volume spike would strengthen the bullish case.

Bearish Scenario

Failure to break and hold above the trendline could trigger a rejection.

Breakdown below 2.84 USDT would invalidate the breakout and shift structure back to consolidation or downside.

In a worst-case scenario, price could revisit 1.05 USDT, the all-time cycle low.

This bearish outcome could be catalyzed by macro volatility or Bitcoin correction.

Key Support & Resistance Levels

Level Significance

1.05 USDT Macro Support (Cycle Low)

2.84 USDT Accumulation Support

3.45 USDT Breakout Trigger 4.184.75 USDT Confirmation & Retest Zone

10.04 12.84 USDT Mid-Term Target 24.75-40.86 USDT Major Resistance Zone

Conclusion

CAKE/USDT is at a critical inflection point. A breakout from this long-standing weekly trendline could spark a powerful multi-month rally. The current setup

resembles early-stage reversals seen in other altcoins prior to explosive moves.

If confirmed, this breakout might mark the beginning of a new bull cycle for CAKE but traders should stay disciplined and monitor volume and price action closely to avoid potential traps.$CAKE DYOR