The CAKE token rally is gaining momentum, standing out in a mostly stagnant crypto market. While major cryptocurrencies like Bitcoin and Ethereum slipped about 1% in the past 24 hours, PancakeSwap’s native token CAKE rose nearly 3%, showing surprising strength.
CAKE Outperforms as Trading Volume Jumps 88%
CAKE is currently priced at $2.48, marking a 9% gain since May 31. What’s fueling the rise? A major increase in trading activity. Over the last 24 hours, CAKE’s trading volume spiked by 88%, signaling rising interest among investors.
Such a price-volume combination often signals bullish momentum. When volume climbs along with price, it typically shows strong demand—and in this case, growing confidence in CAKE’s potential.
Technical Indicators Signal More Upside
Technical signals further support the CAKE token rally. The BBTrend indicator, which tracks momentum through Bollinger Band patterns, shows only positive (green) histogram bars since May 9. The current reading sits at 12.76, confirming a solid uptrend.
This positive BBTrend reading suggests that bulls are firmly in control, and the current upward momentum may continue in the short term.
RSI Shows Healthy Demand for CAKE
The Relative Strength Index (RSI) also supports the bullish case. Sitting at 54.75 and rising, the RSI indicates that the token is gaining traction without yet being overbought. This means there’s still room for growth before hitting overheated levels.
If market sentiment holds steady and volume remains high, CAKE could rise to $2.81. However, a decline in buying pressure might push the token below $2.41, with potential further downside toward $2.25.
Final Thoughts
With key indicators flashing green and volume backing the move, CAKE may have more room to climb. Still, as always, traders should keep an eye on overall market trends and demand levels.
