PancakeSwap’s native token CAKE has returned to the spotlight after months of muted performance, posting one of its strongest rallies in years. CAKE’s price has climbed more than 23% in the past 24 hours, outpacing the broader crypto market, and extending its monthly gains to nearly 39%. Currently trading at $3.29, CAKE is trading at its highest level in three months, supported by a surge in trading volumes, fresh product upgrades, and renewed attention to the Binance ecosystem. BNB surge lifts PancakeSwap A major catalyst behind CAKE’s breakout is the rally of Binance’s BNB token , which surged to a new all-time high of $1,114.67 on October 3. BNB price chart | Source: Coingecko The move, triggered by network upgrades and a short squeeze, drew significant liquidity into the BNB Chain, where PancakeSwap is the dominant decentralised exchange. With BNB Chain’s total value locked rising to $8.16 billion, PancakeSwap captured roughly a quarter of that activity. The result was a sharp increase in CAKE trading, with volumes jumping 528% in a single day to $619 million. Fee-earning limit orders spark demand Another driver has been PancakeSwap’s introduction of fee-earning limit orders , a feature launched on September 29 that allows users to collect 0.1% in fees when their orders are executed. This update, designed to blend centralised exchange precision with decentralised finance rewards, immediately attracted both retail and institutional traders. Over $410 million flowed into CAKE within 24 hours of the rollout, while whale holdings increased by nearly 6%. In just one day, the feature generated $1.5 million in fees, part of which was burned, enhancing CAKE’s deflationary appeal. With 10 major trading pairs supported, including CAKE-USDT and ETH-BNB, the product is seen as a crucial step in strengthening user incentives and deepening liquidity. Technical breakout fuels momentum CAKE’s rally also coincides with a decisive technical breakout. The token has surged past the $3.10 resistance level and crossed its 20-day simple moving average at $2.72, triggering automated buying and short liquidations worth over $6 million. PancakeSwap price analysis | Source: CoinMarketCap Momentum indicators are leaning bullish, with the MACD showing a crossover and the Relative Strength Index (RSI) approaching 70. Analysts are eyeing the next resistance near $3.84 if $3.10 holds as support. But while technical signals support the rally, the risk of a pullback remains if broader sentiment around BNB weakens. Record trading volumes signal DeFi growth Beyond short-term price action, PancakeSwap’s broader ecosystem has shown remarkable strength. In the third quarter, the exchange posted a record $772 billion in trading volumes, a 45% increase from the previous quarter and its third consecutive record since launch. Cumulative volumes across 10 supported blockchains now exceed $2.49 trillion, while the platform reached 11.8 million users in Q3. With $2.5 billion in total value locked and multi-chain support spanning BNB Chain, Ethereum, Arbitrum, and Base, PancakeSwap has firmly secured its position as one of the most influential decentralised exchanges. The post PancakeSwap (CAKE) price rally explained: BNB ATH, fee orders, and $772B volumes appeared first on Invezz
