PancakeSwap’s CAKE Coin Soars 20% in 24 Hours: What’s Behind the Rally?

Author: COINTURK NEWS

The leading decentralized cryptocurrency exchange protocol, PancakeSwap (CAKE), is making headlines again with its remarkable price surge. According to the latest data, the price of PancakeSwap’s native altcoin CAKE has increased by 20% in the last 24 hours, reaching $2.60, which is its highest level in the past 7 months. The significant increase in the altcoin’s trading volume, reaching $289.96 million with a growth rate of over 129%, indicates that this surge is extraordinary and marks an exciting period for CAKE.

What’s Behind CAKE’s 28% Rally Today?

PancakeSwap has been moving within a complex growth trend and has shown an impressive increase in the past six months, despite a 18% decline since the beginning of the year. One of the significant factors positively impacting investor sentiment towards CAKE seems to be the overall market outlook.

Despite the recent drop in Bitcoin (BTC), the expectation of the approval of a spot Bitcoin ETF has boosted investor optimism towards altcoins, and PancakeSwap has been one of the biggest beneficiaries of this development. Secondly, the recent price surge is based on the announced reward distribution for PancakeSwap community members, especially those who stake CAKE to support the protocol.

Another factor contributing to the revival of CAKE is PancakeSwap’s unique market share among decentralized cryptocurrency exchanges, which is considered to have a promising future.

PancakeSwap and Binance Relationship

Furthermore, despite being a completely independent protocol, PancakeSwap has a successful relationship with Binance and its ecosystem. PancakeSwap is a leading decentralized cryptocurrency exchange on Binance’s BNB Chain protocol and maintains its first-mover advantage over other competing protocols. This situation has led many investors to have a positive view of PancakeSwap. Additionally, many people who want to avoid high transaction fees prefer PancakeSwap as an alternative to other platforms like Uniswap.

It is worth mentioning that PancakeSwap goes beyond being just a decentralized cryptocurrency exchange. Recently, the protocol launched a play-to-earn type of game and announced a burn program to deepen CAKE’s deflationary status.