Pancake Swap Price News: Q3 Volume Record Could Push CAKE to $5

Pancake Swap (CAKE) is today’s top-performing crypto with a 24-hour gain of 27% that pushed the token above a historical supply area at $3.

Trading volumes have exploded by more than 900% during this same period, emphasizing the strength of the buying pressure. At $963 million, 24-hour volumes currently account for 78% of the token’s circulating supply.

The project made two important announcements that could have catalyzed this strong uptick. First, Pancake Swap booked its highest quarterly trading volumes on record during Q3 at $772 billion.

Pancake Swap Official X Account – Source: X.com

Most of the token’s total value locked (TVL) comes from the Binance Smart Chain. This metric has surged to the point of pushing Pancake Swap to lead as the top decentralized app in the BSC ecosystem.

In addition, the project just expanded its portfolio of available tokenized perpetual futures for stocks by adding Google (GOOG), Meta Platforms (META), and NVIDIA (NVIDIA).

Meanwhile, trading volumes on this protocol have been on an uptrend for the past three weeks and reached their third highest weekly print since the year started during this period.

Market Conditions Improve and Favor a Bullish Outlook for Alts

Macroeconomic conditions currently favor a bullish outlook for cryptocurrencies as the Federal Reserve cut interest rates by 25 basis points during its September FOMC meeting and is expected to execute another cut of the same magnitude in October.

Meanwhile, market sentiment has picked up as the community expects that “Uptober” could lift cryptos once again. The recovery is going quite well thus far and has already pushed BNB Coin (BNB) to make a new all-time high today at $1,167.

This rally favors Pancake Swap as the leading DEX in the Binance Smart Chain and could result in a strong push to uncharted territory for its native asset – $CAKE.

The Fear and Greed Index shows that investors’ attitude has shifted from bearish at 34 to cautiously bullish at 57. If this uptrend continues, FOMO will likely take over, and we could see an even stronger move across altcoins.

Can Pancake Swap (CAKE) Rise to $10?

Looking at the daily chart, we can see how important today’s breakout is, as it pushed through a strong resistance from which CAKE dropped sharply multiple times in the past. We anticipated this move in a previous CAKE price prediction.

CAKE/USD Daily Chart (Crypto.com) – Source: TradingView

The Relative Strength Index (RSI) has reached overbought levels in just two days, possibly as a big load of short orders were blown up as a result of this move.

Crypto liquidations as a whole favor a short-squeeze scenario as more than $900 million worth of short positions have been wiped out in the past 72 hours alone.

We get two obvious targets for CAKE in the near term based on the daily chart. The first at $4.2 and the second at $5. This results in a 17% upside potential in the near term and a higher 40% gain if the rally continues toward that second target.

Above-average trading volumes confirm a bullish outlook, and market conditions remain quite favorable for this token. At $5, its market cap would rise to around $1.7 billion.

Nonetheless, if the latest positive momentum that the Binance Smart Chain is experiencing results in an improvement in the market’s perception of Pancake Swap, the project could rise even further, possibly to $10

This means that its market cap would reach the $3 billion range, where top CEX tokens like Bitget Token (BGB) and OKB (OKB) are.