Why buy PancakeSwap (CAKE) in July 2021?
- PancakeSwap has been adding a lot of new pools into its lineup as of the past week.
- This has driven up its circulating supply as well as demand.
- If it keeps this pace up, we could see it raise its value to $15 by the end of July.
PancakeSwap CAKE/USD is a Binance Smart Chain-based DEX that was launched by anonymous developers. Its an automated market maker (AMM) and decentralized finance (DeFi) application that has seen a lot of activity recently.
On June 29, we saw Fetch.ai launch Intelligence Automation for PancakeSwap and Uniswap V2. This enabled users to create up to five DeFi Agents with stop-loss triggers, and generally lead to an increase in the usage of PancakeSwap which raised the demand for the CAKE token.
Are you looking for fast-news, hot-tips and market analysis? Sign-up for the Invezz newsletter, today.
On July 22, PancakeSwap introduced the C98 Syrup Pool, which provides total rewards of up to 3,000,000 C98 tokens. In other words, it enabled users to provide liquidity in the form of C98-BNB LP tokens to earn CAKE.
Furthermore, we also saw the Axie Infinity Farm and Soup Pool going live at this time where users could stake CAKE and earn AXS, or Stake AXS and earn CAKE. They can also stake AX-BNB and earn CAKE.
As if this was not enough, we also saw the addition of the Tranchess CHESS token addition.
At this point in time, it is sufficient to say that the PancakeSwap AMM has been receiving a lot of activity, and as such we can expect to see an increase in its circulating supply, token demand, and most importantly, value.
Should you buy PancakeSwap (CAKE)?
On July 22, PancakeSwap (CAKE) had a value of $13.
CAKE experienced its all-time high on April 30, where it managed to get to a value of $43.96.
This being the case, we can see just how much potential the token has of climbing in value. To further estimate its value, we will be looking at last month’s performance as a point of reference.
On June 5, we saw CAKE getting to a high point of $20. Discussing its lowest point of the month, we saw it on June 22 where it managed to drop to $10.
This indicates a $10 difference from its high to its low point, which makes it at a solid price point to buy at $13.
With the addition of so many cryptocurrencies on PancakeSwap, we can expect a lot of people to start staking CAKE or earning CAKE. In any case, this will drive up its demand, and in turn, value.
Having a daily trading volume of $336 million is an indication of just how popular PancakeSwap is, and as such, we can expect its value to rise to the $15 mark by the end of July.
Furthermore, it might even get to its recent high of $20 by the end of August if it keeps up this momentum, and this is why at the $13 price range, PancakeSwap (CAKE) is a worthwhile investment.
Where to buy right now
To invest simply and easily, users need a low-fee broker with a track record of reliability. The following brokers are highly rated, recognised worldwide, and safe to use: