Binance Sparks Price Surge for Selected Altcoins

The world’s largest cryptocurrency exchange, Binance, has sparked a significant price rally in specific altcoins after introducing new services on its platform. At the same time, several tokens fell in value following the announcement of access termination.

The Binance Effect

Today, Binance disclosed the launch of BIRB/USDT and GWEI/USDT perpetual contracts, featuring up to 50x leverage. These new offerings allow the use of various cryptocurrencies within the trading process. Perpetual contracts enable users to speculate on asset prices using borrowed funds without ownership.

Following this announcement, Moonbirbs (BIRB) and ETHGas (GWEI) saw a substantial uptick in value, with GWEI surging by 30% and BIRB achieving a slightly less dramatic rise.

GWEI Price GWEI Price, Source: CoinGecko

This response is typical of the market dynamics observed when new listings occur on Binance. The endorsement from a leading exchange usually leads to enhanced liquidity and a better reputation for the assets involved.

The Opposite Reaction

In addition to launching new services, Binance also removes tokens that do not meet its compliance standards. Recently, it was announced that cryptocurrencies such as WIZARD, SHOGGOTH, and BOOST would no longer be featured on the platform due to non-adherence to Binance Alpha’s criteria.

Most of these tokens suffered considerable price drops following this news, with BOOST experiencing a collapse exceeding 70%.

BOOST Price BOOST Price, Source: CoinGecko

Furthermore, Binance plans to discontinue several trading pairs, including AXS/ETH and NEAR/BNB, which are also showing negative trends.

The broader cryptocurrency market is currently experiencing corrections, with Bitcoin dropping below $88,000 and Ethereum losing its $3,000 support level.