PancakeSwap is a decentralized exchange that runs on Binance Smart Chain. It offers better transaction rates and lower fees than other similar decentralized exchanges like Uniswap or Sushiswap. Lower fees on the Binance Chain also make it a popular project.
It offers faster and cheaper trading and user-friendly designs, which make it suitable for users. It is also known as Automated Market Marker, which means it uses a liquidity pool while rewarding liquidity providers for contributing to their assets. Some of the popular features of this project are: –
It is an open-source protocol, especially for BEP-20 token swapping. Users can use the platform and swap their BEP-20 tokens on the exchange.
It also allows farming native tokens called CAKE. PancakeSwap supports the following token firming.
- CAKE -BNB LP
- USDC -BUSD LP
- USDT -BUSD LP
- BETH -ETH LP
- BUSD -BNB LP
- TWT -BNB LP
- DAI -BUSD LP
Staking CAKE in SYRUP Pool
Users can earn by farming CAKE or even stake their own CAKE tokens in SYRUP Pool to earn more CAKE tokens.
Besides swapping, staking, and farming, it also allows lottery tickets, where each session takes 6 hours, and a lottery ticket costs ten cakes. As a lottery ticket, it provides a random four-digit number that contains digits between 1 to 14. The code numbers of this ticket should match for winning the lottery jackpot. Users still get rewards when two or three digits match if the number does not match.
Users can earn on this project using NFTs, but the payment should be made on CAKE value.
PancakeSwap Price Analysis
When writing this technical analysis, CAKE/USD is trading around $4.34. It has been consolidating between $5 and $3.5, so we think it is an ideal time to take a short-term swing with the target price of $5. Candlesticks are forming in the upper range of the Bolinger bands, which suggests bullishness in the chart along with MACD and RSI.
However, based on the CAKE price prediction, $4 is a strong resistance level, so that it may come down further, but it will definitely cross this level as it has been forming higher highs from the price of $3.
On the weekly chart, it has formed a higher low, and the candlestick is in the upper Bollinger band. However, we do not think it is an ideal time for long-term investment because the chart is in a long-term downtrend. You can consider it in your long-term portfolio when it decisively crosses the level of $15.