Monat: Februar 2025

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Why is PancakeSwap price rising today?

  • PancakeSwap (CAKE) today surged by 64.58%, hitting an intraday high of $3.16.
  • Binance ecosystem resurgence has been a major boost for PancakeSwap.
  • Whale moves signal CAKE price optimism.

PancakeSwap’s native token, CAKE, has seen a remarkable surge, jumping from an opening price of $1.92 to an intraday high of $3.16 according to CoinGecko data, marking a 64.58%.

Trading currently at around $3, CAKE’s price movements reflect a broader market optimism that is driven by several specific catalysts unique to PancakeSwap and the BNB Chain ecosystem.

Surge in trading volume on BNB Chain

The primary driver behind CAKE’s price increase is the resurgence in activity on the BNB Chain.

PancakeSwap has outperformed decentralized exchanges (DEXs) on nine chains including BSC, Ethereum, Polygon zkEVM, and Abirtum in terms of trading volume, both on a weekly and daily basis.

PancakeSwap has outperformed decentralized exchanges (DEXs)

This spike in volume is a direct result of renewed user interest in the BNB Chain, which has been witnessing a revival. It can also be attributed to the weekly CAKE revenue-sharing model that has been distributing significant CAKE tokens to revenue-sharing pool participants weekly, with the most recent distribution occurring on February 13.

The increased activity has not only bolstered the platform’s liquidity but also enhanced the utility and demand for CAKE.

Binance’s influence

Binance, which controls nearly 55% of cryptocurrency trading activity, has also significantly contributed to PancakeSwap’s price surge. The exchange’s success directly benefits platforms like PancakeSwap, which are part of the broader Binance ecosystem.

Additionally, Binance’s decision to resuscitate its decentralized ecosystem, coupled with the launch of features that allow for the creation of meme cryptocurrencies, has funnelled more users and traders to PancakeSwap. This has made it a burgeoning hub for both established and new speculative tokens, thereby increasing the intrinsic value of CAKE.

Whale activity and positive market sentiment

Another notable factor in CAKE’s price rally is the activity from significant market players or “whales.”

Reports indicate that a former PancakeSwap advisor and BNB whale made substantial withdrawals of CAKE and other tokens from Binance, signalling optimism among whales.

Influential figures’ moves often sway market sentiment, leading to increased buying pressure on CAKE.

Meme tokens and ecosystem expansion

PancakeSwap’s decision to list new memecoins like the Test Token (TST) has further fueled its growth.

By expanding into the meme token space, which is popular among retail investors, PancakeSwap is not only diversifying its offerings but also tapping into a demographic known for driving high trading volumes.

This strategic move could transform PancakeSwap’s profile from primarily hosting blue-chip tokens to being a go-to platform for all types of cryptocurrencies.

With all these developments, the price of PancakeSwap (CAKE) could see more gains with the next key target being $3.66.

The post Why is PancakeSwap price rising today? appeared first on CoinJournal.

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Coinbase sets its sights on re-entering the Indian market

  • Coinbase disabled new user sign-ups in India in 2023 following regulatory roadblocks
  • Brian Armstrong, Coinbase’s CEO, said the platform faced “internal pressure” from India’s central bank
  • Binance resumed its operations in India last August after registering with the FIU

Crypto exchange Coinbase is looking at re-entering India after pausing its operations there more than a year ago.

According to sources familiar with the matter, the exchange is in discussion with authorities, including India’s Financial Intelligence Unit (FIU), reports Tech Crunch.

A company spokesperson said: “Coinbase is excited by the opportunities in the Indian market and intends to comply with applicable regulatory requirements.”

Services discontinued

In June 2023, Coinbase disabled new user sign-ups in India after failing to progress with local authorities after launching its exchange product.

In 2022, Coinbase stopped its United Payments Interface (UPI) system just three days after launching its product. Later, Brian Armstrong, Coinbase’s CEO, said it had received “informal pressure” from the country’s central bank to withdraw UPI payments.

Armstrong said during an earnings call, at the time, that there was “informal pressure from the Reserve Bank of India (RBI), which is kind of the Treasury equivalent there.”

While crypto trading isn’t illegal in India, lenders typically avoid doing business with crypto companies for fear of upsetting the RBI.

The move from Coinbase also comes at a time when crypto exchange Binance resumed its operations in India last August after registering with the FIU.

The post Coinbase sets its sights on re-entering the Indian market appeared first on CoinJournal.

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Avalon Labs evaluating a Bitcoin-backed public debt fund

  • Avalon Labs is planning to introduce a Bitcoin-backed public fund under SEC Regulation A.
  • Avalon Labs aims to bridge traditional finance and crypto, expanding Bitcoin’s utility.
  • Avalon’s AVL token has been listed on Bybit, boosting liquidity and community governance.

Avalon Labs has decided to explore the uncharted territory of Bitcoin-backed lending products by leveraging SEC’s Regulation A framework.

Barely a day after Avalon Labs announced the listing of its native token, AVL, on Bybit’s Spot trading platform, the company has announced it is considering launching a Bitcoin-backed public fund under the SEC Regulation A.

The timing of this announcement coincides with a period of economic uncertainty, with rising inflation and evolving Federal Reserve policies influencing investor sentiment.

By providing a structured entry point into Bitcoin investment for retail investors, Avalon might just lower the entry barriers for traditional investors, thereby expanding Bitcoin’s utility and acceptance.

Expanding Bitcoin’s reach into traditional finance

Avalon Labs’ move is seen as an attempt to open the door for massive adoption of Bitcoin-backed products, making them accessible not just to crypto enthusiasts but also to traditional investors. The initiative aims to position Bitcoin (BTC) not just as a store of value but as a dynamic financial instrument capable of generating yield through DeFi opportunities.

By using Regulation A, often dubbed a “mini-IPO,” Avalon Labs seeks to bypass the complexities of a full SEC registration while ensuring compliance and transparency. This approach, commonly utilized by real estate investment trusts (REITs) and private funds, could provide a structured investment vehicle for retail investors, thus bridging the gap between traditional finance and the burgeoning crypto market.

Avalon’s native token AVL debuted on Bybit on February 12

Parallel to this financial exploration, Avalon Labs has also solidified its token ecosystem with the listing of AVL on Bybit. This move not only enhances liquidity but also introduces the token to a broader audience.

AVL serves as the governance token, enabling community-driven decision-making, while USDa, the Bitcoin-backed stablecoin, offers a stable, bank-independent currency for on-chain transactions.

The integration of AVL into Bybit’s platform, coupled with the potential launch of a public debt fund, underscores Avalon Labs’ strategic approach to expanding its footprint in the DeFi and traditional finance sectors.

The post Avalon Labs evaluating a Bitcoin-backed public debt fund appeared first on CoinJournal.