- CAKE price continued its bullish momentum on Monday.
- PancakeSwap's token jumped to the highest point since June.
CAKE price has done well in the past few weeks as it has outperformed most cryptocurrencies. PancakeSwap’s cryptocurrency soared to a high of $4.51, which was the highest level since June 6. It has risen by more than 83% from its lowest level this year, meaning that it has outperformed other blue-chip DeFi tokens like Lido, Aave, and Uniswap.
Momentum continues
PancakeSwap is a leading blockchain project in the decentralized finance (DeFi) industry. It is a platform that makes it possible for people to trade cryptocurrencies in a decentralized manner. It also has features that make it possible for people to earn interest through liquidity provision.
In the past few months, PancakeSwap introduced prediction and trading competition features. The prediction feature makes it possible to place a bet on whether a coin’s price will rise or fall and then make money from it.
Learn more on how to buy PancakeSwap.
Unlike other DeFi platforms like Aave and Uniswap, PancakeSwap has also introduced a non-fungible token (NFT) feature that makes it possible for people to trade these assets on the BNB Smart Chain. The network handles NFTs worth millions of dollars every month.
PancakeSwap, like other DeFi platforms have seen their total value locked (TVL) drop. According to DeFi Llama, the TVL has crashed from almost $21 billion to about $5.9 billion. Its TVL has remained in the current range in the past few weeks.
It is unclear why CAKE price has done well in the past few months. A possible reason is that the coin has received momentum among buyers. Indeed, a quick look at most social media platforms for traders like CoinMarketSwap, Twitter, and StockTwits shows that traders are actively pumping the coin.
Another possible reason is that investors believe that PancakeSwap and other blue-chip DeFi platforms are better than centralized exchanges.
CAKE price prediction
The daily chart shows that the PancakeSwap price has been in a strong bullish trend in the past few weeks. Along the way, the coin has moved below the 23.6% Fibonacci Retracement level. It has moved above the 25-day and 50-day moving averages.
The coin’s MACD has moved above the neutral level. It also moved above the ascending trendline shown in purple. Therefore, the coin will likely continue rising as bulls target the next key resistance level at $6. A move below the support level at $4 will invalidate the bullish view.
