Will the volumes on Pancakeswap explode-Will the Crypto Cake find its levels of the previous cycle?

The volumes on Pancakeswap and the crypto cake explode upwards

While the decentralized exchanges (DEX) ampute increasingly important market share to their centralized equivalents, The analysis of the volumes of the DEX offers an essential barometer to identify which of the latter manage to distinguish themselves and to arouse commitment.

In the past 7 days, Cake cryptocurrency has seen its price appreciated almost 100 %a perfectly remarkable performance in a relatively gloomy market context.

The cake is the Crypto of Dex Pancakeswap, deployed on the BNB Smart Chain (BSC). This crypto allows Generate staking yields, do Yield Farming by providing liquidity, participating in project governance and participating in new cryptos launches on the platform.

Volumes of the last 24 hours out of the 3 main Dex

While the Token Cake has appreciated strongly in the last 24 hours, the volumes recorded on Pancakeswap over the same period were particularly important, of the order of $ 3 billionas shown in the image above.

In this article, we will explore the tracks that could explain such performances and put hypotheses about the future of the Pancakeswap Dex and the attractiveness of the BSC.

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The evolution of Dex and their dynamics until today

The year 2024 saw major developments concerning the main Dexs of the Crypto ecosystem. Indeed, Uniswap, yet considered the most popular Dex, accuses a significant loss of speed against Raydium, a Dex based on Solana.

In the last 365 days, the UNISWAP DEX has seen pass $ 778.7 billion volumes, while Raydium recorded about 789.5 billion dollars:

Graph representing the volumes of Dex in the past year

For his part, Pancakeswap has not seen “only” transit 197.7 billion dollars volumes in the last 365 days. However, a different dynamic can be observed by reducing our field of vision on shorter time units.

In the last 7 days and last 24 hours, Pancakeswap is in 1st position in terms of volumes. From a monthly point of view, Pancakeswap remains in 3rd position. Nevertheless, its gap with its competitors is reduced day by day.

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The dynamics that explain Raydium volumes

Raydium will have marked the spirits in 2024. His attractiveness in recent months can be explained without too many uncertainties. Do you know the adage ” In a gold rush, sell shovels and picks »?

Well Raydium, as an infrastructure serving as a base for the liquidity of the same on Solana could be considered as ” shovels and picks “, While the frenzy around the same is akin to a” gold rush ».

This is how Raydium will have managed to compete and then win against Uniswap. Faced with this fraternal rivalry, Pancakeswap was discreetly changing in his corner, without worrying the behemoths that are now Raydium and Uniswap.

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The return of Changpeng Zhao: a catalyst for Pancakeswap?

For several weeks already, Pancakeswap has returned to attractiveness as demonstrated by its growing volumes. At the heart of this dynamic is a size catalyst: Changpeng Zhao, the founder of Binance.

🌐 In the news – Changpeng Zhao criticizes Binance's listing process

While the latter declared ” Take distance from the crypto ecosystem Following his 4 -month incarceration, he seems to have made his comeback, in particular by reversing Binance Labs, the investment fund affiliated to the Exchange Binance, in Yzi Labs.

By allocating the management of Yzi Labs to Ella Zang, a faithful collaborator of Changpeng Zhao, the latter will actively get involved as mentor with the startups incubated by the investment fund.

In addition, our main interested party has a strong influence from the Crypto community. Several of its latest tweets have referred to the same on the BSC, a sector that still arouses attention, and ultimately trading with significant volumes.

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Will the BNB Chain come back to the front of the stage?

While volumes on Pancakeswap are encouraging for the future of the BSC and by extension for the price of BNB, the blockchain on-chain data in themselves are more mixed.

Graphic representing the evolution of active addresses (in purple) and daily transactions (in yellow) on the BSC

By observing the graph above, We cannot notice a significant increase in daily transactions or the number of addresses active daily on the BSC.

Nevertheless, by observing the ratio of new addresses compared to the addresses already known, We can assume that the blockchain attracts new users ::

Graphic representing new addresses and known addresses on the BSC

Since the beginning of January 2025 we have seen a significant increase in the number of new addresses per day on the BSC.

When studying the total locked value (TVL) compared to the growth of the BSC market cap, the results are once again mixed:

Graph representing the TVL (in yellow) and the Market Cap (in blue) of the BSC

Although the BNB market cap has been up for several months, the BSC has never found its levels on TVL since the previous Haussier cycle. This is all the more remarkable since the Market Cap of the native cryptocurrency of a blockchain has a positive correlation with its TVL.

In view of this information, We can hypothesize that the BNB prize is overvalued in relation to the capital engaged in the decentralized finance protocols (DEFI) of the BSC.

Although the arrival of new addresses is to be noticed, The activity on the BOSCCchain BSC is relatively low, in particular by comparing to levels similar to the last Bear Market.

Nevertheless, the return of Changpeng Zhao in the “game” crypto was noticed and his influence could play in favor of a reversal of the trend. In addition, the new BSC roadmap has recently been announced, which could justify an intensification of speculation on the BNB and the cake.

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Sources: Terminal artemis, Defillama

Passionate about the blockchain ecosystem, I like to deepen my knowledge and share my discoveries. In perpetual quest to learn more about cryptos, I recently joined the Cryptoast Research team where I provided a weekly fundamental analysis.

Théo Zananiri

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