PancakeSwap (CAKE) Flashes Major Bullish Signals, May Be on the Verge of a Significant Breakout

Currently trading around USD 2.26, the CAKE token has climbed 2.60% in the past 24 hours, and technical analysts believe the token may be on the verge of a significant breakout.

The popular decentralized exchange (DEX) PancakeSwap (CRYPTO: CAKE) is flashing major bullish signals as technical analysts believe the token may be on the verge of a significant breakout. Currently, it is trading at $2.26, having risen by 2.60% in the past 24 hours.

Even though the DeFi sector has cooled off since its peak in 2021, PancakeSwap is still going strong with over $1.77 billion in total value locked (TVL) and a market cap of $727 million. A recent social media buzz suggests a major technical breakout is forming, and if confirmed, could propel PancakeSwap Coin to as high as $8.30 in the coming weeks or months.

Symmetrical Triangle Signals Sharp Increase

A tweet from Coinvo, a popular crypto technical analyst with over 319k X followers, showcases PancakeSwap Coin breaking out from a long-term symmetrical triangle pattern. These patterns often indicate a buildup of trading activity before a powerful move, and in CAKE's case, the breakout direction appears to be up.

“This $CAKE triangle breakout is about to go insanely parabolic,” stated Coinvo, highlighting a TradingView chart that depicts CAKE testing the upper trendline.

Symmetrical triangle breakout typically marks the continuation of the previous trend. In PancakeSwap's case, this trend appears to be reversing from a multi-year downtrend toward a recovery phase.

The USD CAKE price has broken out of the pattern and is now testing previous resistance levels, which adds weight to the bullish narrative.

PancakeSwap Coin Eyes USD 8.30 Target After Retest

Another tweet from Solberg Invest further elaborates on this bullish case with a longer-term projection. His weekly chart suggests that the PancakeSwap price has been bottoming inside a macro triangle, forming higher lows since 2023. His analysis arrives at a potential target of USD 8.30 if certain market conditions are met and the breakout is successfully retested.

This level would represent a more than 260% gain from current prices and could begin a sustained uptrend if DeFi market sentiment recovers. Given PancakeSwap's role as a leading DEX, such a move would reflect broader growth in the decentralized finance space.