CAKE has blasted past a key resistance zone that capped action since late December, fuelled by BNB‘s new all-time high. What’s next for CAKE price？
Summary
- CAKE price has cleared $2.80–$2.90 resistance and the previous swing high at $3.10, now ~24% above its 20-day SMA.
- A healthy correction could bring price back to $2.80–$2.90 before resuming upward momentum.
After gaining almost 20% yesterday, PancakeSwap (CAKE) price continues its rally today, having broken through the previous swing high and the psychological resistance at $3 with strong momentum and trading volume. Price reached an intraday high of $3.58, marking its highest level this year.
With this surge, CAKE price has also cleared the horizontal resistance band between $2.80–$2.90, a barrier that has capped the price action since late December — albeit a couple of fakeouts in recent months.
Technically, the breakout move appears to have been set off by a retest of the ascending trendline support near $2.50, which consistently acted as a foundation for higher lows throughout 2025.
Looking ahead, a retest of the breakout level around the previous swing high at $3.10 would be the best-case scenario for bulls after such an extended move. With the current price at $3.38, its about 24% overextended above the 20-day SMA at $2.72. A more measured and likely scenario, however, is a deeper pullback into the $2.80–$2.90 zone, which would still be considered a healthy retest for bullish continuation.
Source: TradingView
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Whats driving CAKE price？
Binance Coin (BNB) hit a new ATH today, surpassing $1,100. CAKE‘s liquidity and trading activity on BNB Chain make it highly correlated with BNB’s price action, meaning BNBs rally likely boosted sentiment for CAKE.
Additionally, PancakeSwap recently launched “Fee-Earning Limit Orders” on BNB Chain. These orders, when executed, pay a 0.1 % fee to the order placer. This not only incentivizes deeper liquidity, but also creates an additional revenue stream that flows back into the PancakeSwap ecosystem. For long-term CAKE holders, this is meaningful because PancakeSwap channels a portion of its protocol revenue into CAKE buybacks and burns, directly reducing supply while reinforcing the tokens value capture.