Pendle Price Breaks Below $2? Arthur Hayes Flee Signals Bigger Drop Ahead

Highlights

The formation of an inverted flag hints at a temporary recovery for Pendle price before the next downfall.
BitMEX founder Arthur Hayes recently sold 350,000 PENDLE tokens at a loss, totaling $1.26 million.
A bullish breakout from the 200-day EMA could invalidate the bearish thesis and drive further rally.

The cryptocurrency market retains its bullish outlook for the second half of September as Bitcoin rigorously attempts to reclaim $60,000. Along with most major altcoins, the Pendle price showcased a notable uptick during Monday’s trading session to hit a 50-day high of $3.68. However, this recovery is at risk amid bear pattern formation and selling pressure from large holders.

Pendle Price Risks $2 Breakdown as Arthur Hayes Flee Signals Trouble

Arthur Hayes, the founder of BitMEX and prominent crypto trader, sold 350,000 PENDLE tokens (worth around $1.26 million) at a loss earlier today. According to data from Lookonchain, Hayes initially purchased 392,911 PENDLE tokens for approximately $2.2 million at an average price of $5.6 through the liquidity provider Wintermute from May 20 to June 21, 2024.

However, the Pendle price plunged over 40% in the subsequent three months, prompting Arthur to exit his position at a total loss of $790k.

Arthur Hayes(@CryptoHayes) sold 350K $PENDLE($1.26M) at a loss in the past hour.

He bought 392,911 $PENDLE($2.2M) at ~$5.6 through #Wintermute from May 20 to June 21.

3 months later, $PENDLE dropped by over 40%, prompting him to sell at a total loss of $790K (-36%).… pic.twitter.com/muuiX67m9M

— Lookonchain (@lookonchain) September 20, 2024

In addition, the Santiment analytics show a declining trend in large holders’ positions since March 2023. The chart below highlights that whale wallets between 1 Million to 10 Million Pendles have diminished their holdings to 37.05 million coins.

Typically, the exit from smart money traders signals the possibility of extended correction and negatively impacts the market sentiment.

For a detailed analysis, check our Top DeFi Protocols article.

Pendle Price Analysis Hints Temporary Rally With Bear Flag

In the last six weeks, the Pendle price showed a sustained recovery from $1.82 to $3.55— a 95.44% increase. While the upstream was backed by Fed rate cut speculation, the price consolidation within two rising trendlines revealed an inverted flag pattern.

This chart setup displays a long ‘pole’ representing the major downtrend and two converging trendlines to indicate a temporary counter-trend move. With a market cap of $3.2 billion, the Pendle price currently trades at $3.56 and faces overhead supply at the 200-day exponential moving average.

If the pattern holds, the coin price could tumble 15.5% and break the lower support trendline at $3. A post-breakdown fall could accelerate the bearish momentum and extend a 40% downfall to $1.82 support.

On the contrary, if the Pendle price manages to reclaim the 200-day EMA and breach the converging trendline on the upside, the buyers could attempt to retest the $4.8 level.

Frequently Asked Questions (FAQs)

1. What happens if PENDLE breaks below $2?

If PENDLE breaks below the critical $2 support level, it could signal a deeper bearish trend. This breakdown might trigger accelerated selling pressure, potentially leading to a further decline toward the $1.82.

2. How did Arthur Hayes' $PENDLE sale affect market sentiment?

Arthur Hayes sold 350,000 $PENDLE tokens at a loss, signaling a significant bearish move. His exit, combined with reduced whale holdings, suggests the potential for an extended correction in the market.

3. What are the key levels to watch for a bullish breakout in Pendle?

A breakout above the 200-day EMA and the converging trendline could invalidate the bearish outlook

TAGS
Pendle

Trending
Price Analysis

Best Crypto Presales To Invest In September 2025 – Top Upcoming Presale Tokens

Best Crypto AI Trading Bots In 2025

Top Meme Coins To Buy In September 2025

Sahil Mahadik

Sahil is a dedicated full-time trader with over three years of experience in the financial markets. Armed with a strong grasp of technical analysis, he keeps a vigilant eye on the daily price movements of top assets and indices. Drawn by his fascination with financial instruments, Sahil enthusiastically embraced the emerging realm of cryptocurrency, where he continues to explore opportunities driven by his passion for trading

Why trust CoinGape: CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights to our readers. Our journalists and analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.

Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.

Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.