Latest news about Bitcoin and all cryptocurrencies. Your daily crypto news habit.
Surprise Binance listings have led to a sudden 25% spike in the price of Compound’s Governance Token.
The price of the Compound Governance Token (COMP) has jumped by one-quarter on news of a surprise listing on leading cryptocurrency exchange Binance.
COMP tokens began trading approximately one week ago, quickly making triple-figure gains and attracting millions in trade volume. Binance stated that it did not charge a listing fee for introducing the pairings. Â
Binance now supports pairings between COMP and Bitcoin (BTC), Tether (USDT), Binance Coin (BNB), and BinanceUSD (BUSD).
COMP spikes 25% in five minutes on Poloniex
On June 25, Binance announced that it would list pairings for COMP one hour before they went live, spiking the token’s price by roughly 24.5% from $210 to $260 in five minutes on Poloniex.
COMP/USDT on Poloniex, 5-min chart: TradingView
However, the move was much more gradual on the leading U.S.-based exchange Coinbase, which saw COMP gain 24.5% over the course of 30 mins.
COMP/USD on Coinbase, 5-min chart: TradingView
Prices have since retraced 10%, with COMP changing hands for roughly $230 as of press time. COMP currently comprises the 24th-largest crypto asset by market cap.
DeFi tokens pump and dump
Decentralized finance (DeFi) tokens have recently seen significant volatility, with COMP’s triple-figure gains and subsequent 40% crash setting the tone for the launch of Balancer’s governance token BAL.
On June 24, Balancer posted a 235% gain after its first day of trading, before similarly plummeting by 40%.
MakerDAO’s Maker (MKR) token has also produced significant price action over the past month, gaining 100% from $360 to $720 before quickly crashing back to the mid-400’s.
MKR/USD on Bitfinex, 1D chart: TradingView
Disclaimer
The views and opinions expressed in this article are solely those of the authors and do not reflect the views of Bitcoin Insider. Every investment and trading move involves risk - this is especially true for cryptocurrencies given their volatility. We strongly advise our readers to conduct their own research when making a decision.