BNB Coin Nears $1,000 While CAKE Volumes Explode – Binance’s Summer is Here?

Binance’s ecosystem is experiencing a strong wave of positive momentum ahead of today’s interest rate decision as the native asset of the BNB Chain – BNB Coin (BNB) – just made a new all-time high.

Ten hours ago, the token hit $962 for the first time and remains on track to hit our latest BNB Coin price prediction of $1,000 issued nearly a month ago. If you had bought BNB back then, you would have already booked a 14% gain.

Trading volumes for this asset have increased by 48% to $3.4 billion. However, top tokens within the BNB Chain ecosystem are receiving the strongest boost. This includes Pancake Swap (CAKE), the largest decentralized exchange (DEX) on the network, and its flagship meme coin, Test (TST).

CAKE’s volumes have gone up by 225% in the past 24 hours alone and currently account for 15% of the token’s circulating supply at $134 million. Wrapped BNB accounts for a large percentage of the DEX’s trading volumes at the time as investors interest in the token grows as it continues to hit new records.

Pancake Swap Weekly Trading Volumes – Source: DeFi Llama

Data from DeFi Llama shows that Pancake Swap’s weekly trading volumes have skyrocketed since mid-May, moving from around $7 billion back then to $15 billion last week while peaking at $21 billion during the last week of May.

BNB Coin Should Fully Capitalize On This Bull Market

As the largest centralized crypto exchange in both the spot and derivatives markets, Binance is uniquely positioned to profit from this latest bullish cycle.

The BNB Chain is a cheap alternative to transfer assets on chain and it remains a top choice for investors who use Binance’s platform to buy cryptocurrencies and opt to store them in the BNB Chain through the use of either hot or cold wallets.

Interestingly, Test (TST), the ecosystem’s largest native meme coin, has benefited from this uptrend as well as it has booked a 46.5% gain in the past 7 days alone. This token was created by Binance’s team to showcase that meme coins could be easily minted on the BNB Chain.

Since its launch, investors have chipped in and propelled its market cap rapidly. Trading volumes for TST have surged by an eye-popping 1,300% in the past 24 hours as FOMO seems to be reaching insane levels within the Binance ecosystem.

Can CAKE Finally Break the $3 Barrier?

BNB Coin has respected its trend line support multiple times already and a move toward $1,000 seems imminent at this point.

BNB/USD Daily Chart (Binance) – Source: TradingView

Once the token gets to this psychological threshold, it would be plausible to expect some sort of consolidation as its market cap is already nearing that of XRP (XRP). To flip the native asset of the XRP Ledger, it would have to book a 30% gain and the latter would have to remain in a standstill – as it has lately.

That seems entirely possible at this point but not without some sort of pause. Hence, we could expect a trend line break following BNB Coin’s push to $1K. If a phase of consolidation sets in, scooping up tokens at around $850 would be interesting as the market will likely retest the $1,000 area a second time at some point.

Meanwhile, the $3 level remains the key resistance to overcome for CAKE. The token has failed to climb above this mark multiple times in the past. However, as bullish momentum for BNB picks up, this could be the season for this widely awaited breakout.

CAKE/USD Daily Chart (Binance) – Source: TradingView

If that’s the case, we could expect a short-term boost to $4 for CAKE that pushes its market cap above the $1 billion level once again.