Binance to Delist Six Tokens, Sparking Major Price Drop

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As a seasoned analyst with years of experience navigating the turbulent cryptocurrency market, I find myself both intrigued and cautious regarding Binance’s latest delisting announcement. The swift response from the market, as evidenced by the significant drop in the value of these tokens, is hardly surprising given the power that Binance wields in the crypto world.

Following a regular assessment of its listed tokens, the well-known cryptocurrency exchange Binance has announced it will withdraw support for six digital assets: PowerPool (CVP), Ellipsis (EPX), ForTube (FOR), Loom Network (LOOM), Reef (REEF), and VGX Token (VGX). These tokens are scheduled to be removed from the platform on August 19. This announcement has caused a substantial decrease in the value of these digital assets.

Binance advises its users to act promptly since any open trades will be canceled when trading ends. It’s worth noting that deposits for these specific tokens will be suspended starting from August 27th, and no withdrawals will be permitted after November 26th.

By August 20, 2024, Binance plans to discontinue support for certain tokens in its Simple Earn, Auto-Invest, and Margin services, starting with key deadlines that early. To prevent potential losses, Binance advises its users to transfer their holdings from margin wallets to spot wallets at their earliest convenience.

Effective August 21, both the Binance trading platform for buying and selling cryptocurrencies and the Binance Pay service will no longer support the following tokens.

As a crypto investor, I’ve noticed Binance has decided to delist an asset following their regular review process. This procedure is designed to guarantee that every digital currency listed on their platform adheres to their rigorous quality standards. During this review, they assess factors like the activity level of the project’s development, trading liquidity, volume, and overall network security.

Impact on Market

After the announcement, the market showed immediate response. CVP‘s value tumbled by 25%, decreasing from $0.31 to $0.23 within approximately two hours. Furthermore, its market capitalization reduced by more than 31% during the same timeframe. Likewise, EPX suffered a significant drop, with its price plummeting over 30% to $0.00011 just minutes following the news release.

In the last 24 hours, FOR experienced a significant plunge, shedding over 40% of its worth and is now trading at approximately $0.0092. Similarly, VGX Token underwent a steep decline within a short period, currently standing at $0.038, which represents a drop of more than 30%.

As an analyst, I’ve observed that the recent clarification from Binance regarding the continuation of USDⓈ-M LOOMUSDT and REEFUSDT Perpetual Contracts trading has somewhat lessened the immediate impact on both LOOM and REEF. Initially, there was a dip in their values, but they’ve managed to recover some ground. Nevertheless, it’s important to note that over the past 24 hours, LOOM is down by over 10%, while REEF has seen a more substantial decrease of approximately 20%.

Recent Listings and Delistings

During this ongoing bull market, Binance has been regularly eliminating inactive trading pairs from its system. For instance, on July 24th, it took off AVAX/TUSD, MATIC/TUSD, and VOXEL/BTC spot trading pairs. Additionally, on July 22nd, the MDX/USDT spot trading pair was removed from their platform.

As a crypto investor, I’ve noticed that the exchange has been actively listing new cryptocurrencies this year, and last week was no exception as they announced plans to list Toncoin (TON) trading pairs on their platform. This news sparked a significant jump in TON’s value, with its price surging by approximately 10% within hours of the announcement. Exciting times for TON holders like myself!

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2024-08-12 14:08