- As of November 22, 6,928,951 CAKE tokens were burned
- PancakeSwap’s RSI and Stochastic were in oversold positions
pancake swap [CAKE] investors might have reason to celebrate. According to cryptoquantificationCAKE’s RSI and Stochastic were in oversold positions, which was a major bullish sign.
Over the past few weeks, CAKE’s performance has not exactly aligned with investor interests, posting near-negative weekly losses of 9%. At press time, CAKE was trading at $3.65, with a market capitalization of more than $531.7 million. Also, with this new development, things could look better for CAKE.
Read PancakeSwap’s [CAKE] price prediction 2023-2024
Investors can relax
PIE it managed to remain popular among cryptocurrencies as it was the top BNBChain project in terms of social engagement, behind only RichQuack.
🎉 Top #BNBCain Projects with Greater Social Commitment🚀
🥇 $QUACK @RichQuack
🥈 $CAKE @PancakeSwap
🥉 $BABYDOGE @BabyDogeCoin$TWT @TrustWallet$FLOKI @RealFlokiInu$SFM @moonseguro$FUND @SeedifyFund$LION @swapleonicorn$YOOSHI @yooshi_official$VINU @VitaInuCoin#BNB #WEB3 pic.twitter.com/CzuAjRFyML
—BSCDaily (@bsc_daily) November 21, 2022
PIEThe consumption rate also saw an increase, reflecting the deflationary characteristics of the token. As of November 22, 6,928,951 CAKE were Burnedwhich was worth $26 million.
Furthermore, several on-chain metrics also looked promising for CAKE and suggested a price increase in the following days. For example, PancakeSwap’s market value to realized value (MVRV) ratio was substantially lower, which could be a potential indicator of market bottom.
CAKE volume has also picked up lately, which also seemed quite bullish for the token.
Despite showing promising developments on the charts, the CAKE NFT ecosystem witnessed a slight dip over the past week. According to data from Santiment, the total CAKE NFT trade count and USD NFT trade volume continued to decline over the past seven days. This could hamper CAKE’s growth in the coming days.
In addition, CAKE’s daily on-chain transactions at losses also recorded a spike, painting a bearish picture.
Bulls that have a sweet tooth
A look at the daily chart for CAKE also revealed a somewhat bullish picture. Although the moving average convergence divergence (MACD) data indicated that the bears had the upper hand. This also showed the possibility of a bullish crossover.
The Money Flow Index (MFI), after touching the oversold mark, registered a slight rebound, which looked positive for PIE. However, the Chaikin Money Flow (CMF) dropped sharply, which could cause problems for CAKE in the coming days.