PENDLE Slides After Polychain Sell-Off: Will Buyers Defend $2?

• Price Trend: Pendle remains in a strong downtrend after months of sustained selling pressure.

• Whale Exit: Polychain Capital sold PENDLE at a loss, signaling weakened institutional conviction.

• Key Level: Buyers must defend $2 support to prevent a deeper move toward $1.80.

Pendle — PENDLE, is facing growing pressure after months of steady decline. Price rejection near $6 two months ago changed sentiment sharply. The token now trades close to levels that test long-term confidence. Large holders appear less patient as losses mount. Recent on-chain activity highlights a shift toward distribution. Will buyers step in, or will sellers force another breakdown?

Can Pendle hold $2 after Polychain pulls the plug at $4M loss?
⚡️ $PENDLE ⚡️https://t.co/yXArMyi1Hu

— 𝐂𝐫𝐲𝐩𝐭𝐨𝐂𝐚𝐜𝐡𝐞 (@CacheTrading) December 14, 2025

Polychain Capital Exits at a Loss

Pendle spent weeks locked inside a steep downtrend. Price action slowly drifted lower, with weak recovery attempts. The decline eventually pushed the price near a $2.02 low. At press time, Pendle traded near $2.17. Daily losses reached 4.1 percent, while monthly losses approached 18.5 percent. Such weakness often pressures long-term holders. On-chain data confirmed steady whale activity during the decline. CryptoQuant data showed large order sizes for nearly thirty straight days.

That activity reflected consistent participation from major players. However, the flow leaned heavily toward distribution rather than accumulation. This pattern often appears during late-stage bearish phases. One major exit stood out. On-chain tracker EmberCN flagged Polychain Capital as a key seller. Polychain accumulated around 4.114 million PENDLE between March and September. The average entry price hovered near $3.16. Total exposure reached roughly $13 million.

After several months, Polychain sold the position at around $2.19. That move locked in an estimated $3.99 million loss. Loss-driven exits often signal fading conviction. Extended downside pressure weakens patience, even among institutions. This behavior rarely remains isolated. Broader sentiment usually shifts alongside large exits. Pendle appeared to follow that pattern.

Will the $2 Level Hold?

Technical indicators suggest sellers still dominate price action. The broader downtrend remains intact on higher timeframes. The Relative Strength Index dropped to 36 on the daily chart. That level places Pendle near oversold conditions. Oversold readings alone rarely trigger reversals. The Directional Movement Index offered additional confirmation. The Positive Directional Index slid toward 13. Such readings often signal strong bearish momentum.

This alignment typically favors trend continuation rather than reversal. If selling pressure persists, price could lose the $2 support zone. A breakdown may expose the $1.80 region next. That area served as a historical reaction level during earlier cycles. Buyers would need strong conviction to defend current levels. For sentiment to stabilize, price must reclaim $2.25.

That level would signal renewed buyer interest. A sustained hold above that zone could open room toward $2.50. Until then, downside risk remains elevated.Pendle now sits at a critical inflection point. Whale exits reshaped sentiment and structure. Technical signals continue to favor sellers. Buyer defense near $2 will determine the next major move.