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GMX went live on Binance earlier today.
GMX Jumps Amid Binance Hype
One of the best performers of the crypto winter is benefiting from Binance’s listing effect.
According to data from CoinGecko, GMX jumped to $54.20 in Wednesday trading, up 34.2% on the day. It briefly topped $60, falling a hair’s breadth from its all-time high of $62.10 recorded at the start of the year. While the fast-growing decentralized exchange has shown its strength over the past few months, today’s rally can be attributed to a new listing on the world’s leading cryptocurrency exchange, Binance.
In a blog post on Wednesday, Binance revealed that it will be listing GMX/BTC, GMX/BUSD, and GMX/USDT trading pairs starting today. GMX surged within minutes of the announcement going live, proving that Binance’s listing choices still have a big influence on market dynamics.
For several years now, exchanges like Binance and Coinbase have rattled the markets whenever they list relatively illiquid tokens for trading, often resulting in parabolic upward moves. Receiving an exchange listing is generally seen as good news for token projects, but exchanges have sometimes been criticized for incidents of alleged insider trading (as exchange employees tend to know the listings tokens before the public, they can theoretically lead the market by buying assets before they go live). In July, the Justice Department and the Securities and Exchange Commission indicted a former Coinbase employee and two of his associates for alleged insider trading; the Coinbase alum has pleaded not guilty.
GMX is a fast-growing decentralized trading platform specializing in perpetual futures. Built on the Ethereum Layer 2 Arbitrum and Avalanche network, it offers DeFi traders up to 30x leverage on BTC, ETH, and other assets. According to the GMX website, he currently has approximately $741 million in assets under management. GMX was launched towards the end of the recent crypto bull run at the end of 2021, but as it has grown in popularity, the GMX token has outperformed most other crypto assets. It took a hit after the June liquidity crunch, hitting a low of around $11.53. Since then, it has jumped over 370% while other assets like BTC and ETH are struggling in a tight range.
Lily Crypto BriefingThe GMX product review here.
Disclosure: At the time of writing this article, the author of this article owned ETH and several other cryptocurrencies.