- PancakeSwap’s (CAKE) price rallies significantly, likely spurred by its new Position Manager tool aimed at enhancing liquidity provision efficiency.
- MultiversX (EGLD) sees a 38% surge, possibly influenced by its high staking ratio and value locked, sparking renewed investor interest amidst speculation of an oversold market reversal.
CAKE With Impressive Gains
PancakeSwap (CAKE) has gained 24.19% in the past 24 hours, rallying 85.28% week-on-week. One CAKE is currently trading at US $2.38 (AU $3.66).
The surge of CAKE is likely due to a new tool, introduced at the end of October. The tool, named Position Manager, is designed to make the process of providing liquidity on PancakeSwap v3 more accessible, efficient, and potentially more profitable for users. It addresses the challenges of managing concentrated liquidity by automating and optimising LP strategies, which can encourage more users to participate in the DeFi ecosystem.
The Position Manager simplifies the liquidity provision process by automatically reinvesting earned rewards to take advantage of compounding interest and by managing the creation and maintenance of liquidity positions to ensure they stay within profitable ranges, thereby optimising returns for users.
Additionally, CAKE trading volume has hit a new milestone. As mentioned in a tweet, PancakeSwap has reached a volume of US $20 billion (AU $30.7 billion) on BNB Chain (BNB).
EGLD With “EPIC GAINS”
MultiversX (EGLD) has gained an impressive 38% in the past 24 hours, as per CoinMarketCap. EGLD is currently trading at US $48.12 (AU $73.91).
With the price of EGLD steadily declining over the year, the recent pump comes as a sharp reversal. Crypto Twitter is full of speculation about the reasons behind the sudden move, and some suggest that the token’s scarcity, due to its high staked volume, plays a role. As user DBCryptoX has pointed out, over 70% of EGLD is staked, together with a record amount of total value locked.
Crypto investor Scott Melker, aka the Wolf of All Streets said that many of his followers have been attracted by the “epic gains” from past price cycles of this token.
He described the period as an ‘oversold bullish divergence,’ referring to having doubled the investment after buying in during a period when the price was considered to be lower than its intrinsic value. This term refers to a situation where the price of an asset is falling, but indicators suggest it will rise, which is what happened here.
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