Binance lists renBTC – What to expect next?
Binance, arguably the world’s largest crypto-exchange by trading volume, today announced that it has listed renBTC, while also opening trading for RENBTC/BTC and RENBTC/ETH trading pairs at 1:00 PM UTC on 9 November 2020. Further, Binance’s users were allowed to deposit renBTC, in preparation of trading, beforehand.
— Binance (@binance) November 9, 2020
renBTC is a 1:1 representation of Bitcoin on Ethereum, one that can be redeemed for BTC at any time, in any amount.
This listing is expected to have a spectacular effect on the crypto-asset’s price, with renBTC valued at $15,670.05 at the time of writing with a 24-hour trading volume of $5,191,446.
In fact, according to a report by eToro, listings and partnership announcements usually have a huge, immediate, and positive impact on an asset’s price. Whenever a newer asset that was previously listed on more illiquid markets gets placed on a huge trading venue, the potential price impact is the greatest. This comes down to the fact that markets previously did not exist for that coin on any of the other larger exchanges.
Currently, renBTC is most active on Huobi. However, it does not have an exceptionally significant trading volume or much liquidity.
This is expected to change following its listing on Binance. In fact, the Binance effect has seen coins listed on the exchange note a sharp, northbound price trajectory in the 24 hours after the said listing. AUDIO is the latest example, with the token skyrocketing on the back of Binance Labs’ investment and the exchange’s listing.
Further, a similar case was that of Wrapped Bitcoin (WBTC) which was listed on Binance on 31 August.
As can be observed from the chart, following the listing, the traded volume for WBTC increased quite significantly, and so too did the price. renBTC can expect to see similar increases in volume and price following the listing.
Interestingly, renBTC is also a free listing, unlike most listings that require 1000 BNB as a standard fee to be listed.