Unexpected Altcoin Explodes by 60% Daily Following Support From Binance: Details

TL;DR

• Syscoin (SYS) surged over 60% after Binance listed the SYS/USDT perpetual contract.
• The addition of new trading pairs on the platform often leads to significant price increases for supported cryptocurrencies.

The Binance Effect

The world’s largest cryptocurrency exchange expanded the list of choices offered on Binance Futures to “enhance users’ trading experience.” The new option includes the SYS/USDT perpetual contract, which allows a maximum leverage of up to 50x.

“The maximum funding rate of the aforementioned perpetual contract at the time of launch is +2.00% / -2.00%. The funding fee settlement frequency is every four hours,” the announcement reads.

The option supports the Multi-Asset Mode, enabling users to trade the perpetual contract across multiple margin assets.

“For example, when the Multi-Assets Mode is activated, users can use BTC as margin when trading the aforementioned perpetual contract,” the company clarified.

Binance warned that it may adjust the specifications of the newly included trading option “from time to time,” including its funding fee, tick size, maximum leverage, initial margin, and maintenance margin requirements.

The price of Syscoin (SYS) reacted positively to the exchange’s disclosure, spiking by over 60% on a 24-hour scale. Currently, it trades at almost $0.17 (per CoinGecko’s data), representing the highest level since early June.

SYS Price, Source: CoinGecko

Cryptocurrencies often experience substantial price rallies in the event of support from a major exchange like Binance. The move leads to boosted credibility, increased liquidity, improved investor sentiment, and other benefits.

Earlier this month, the firm listed Toncoin (TON), introducing the TON/BTC, TON/USDT, TON/FDUSD, and TON/TRY trading pairs. The price of the altcoin spiked by over 10% after the announcement. 

Further Support for This Popular Meme Coin

Binance has recently enforced numerous amendments on its platform. One of its latest is the addition of the BONK/BRL and NOT/EUR trading pairs on Binance Spot. 

The company officially listed the meme coin Bonk Inu (BONK) in mid-December last year, adding the following trading pairs: BONK/USDT, BONK/FDUSD, and BONK/TRY. In March, it included BONK/USDC to that list. 

The meme coin’s price remained relatively flat following the most recent support from Binance. On the other hand, it spiked substantially when the exchange initially embraced it.

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