Binance has revealed that it will be adding three new meme coins to its platform, namely Neiro, Turbo, and Baby Doge Coin. The announcement led to a rise in their prices, which gained a lot of attention from the people in the crypto space.
However, Binance has alerted its users on the high risk and volatility of these newly listed tokens.
Meme Coins Experience Price Volatility After Binance Listing
After the announcement, Neiro, Turbo and Baby Doge Coin observed significant changes in their prices. Neiro jumped by 18% initially but then stabilised at a 3% increase.
Turbo, however, continued the steady rise of 9%. Baby Doge Coin surged by 48% and then stabilized at a 44% gain. These aspects indicate quite a volatile market and Binance has urged its users to exercise caution when trading these coins.
To mitigate this, Binance has made it mandatory for users wishing to trade with these tokens to undertake risk awareness tests. These quizzes are meant to help traders comprehend the dangers that are inherent with trading.
Furthermore, Binance attached a ‘seed tag’ to these tokens. Meaning that these tokens could be more prone to fluctuations and risk than other listed cryptocurrencies.
Binance Faces Mix-Up with Neiro Listings, Causes Confusion
A mix-up occurred when Binance listed two different Neiro tokens under the same ticker, causing confusion among traders. Both tokens are listed as NEIRO, but they represent different projects with distinct circulating supplies.
One is Neiro on Ethereum, and the other, listed for futures trading, is NEIROETH, with a separate supply. This confusion led to a surge in Neiro’s price by over 1,100%, resulting in unexpected volatility in the market.
The duplicate listings led to a sharp increase in the token price as investors rushed to differentiate between the two assets. However, this was a short-lived rally as the price of Neiro plummeted by 60% shortly after attaining its highest value.
However, the price kept on rising although at a very slow pace due to the uncertainty that surrounded the market. Binance has not given any response to this issue. It has extended a reminder to all investors to ensure they research before investing to minimize the risk.
Traders Reap Huge Profits Amid Market Frenzy
Some of the traders have also made a lot of profits from the listing of Neiro, Turbo and Baby Doge Coin. A single trader was able to make $1.8 million from an initial investment of $16.5 in Neiro when the crypto exchange Binance announced its intention to list the digital currency.
The trader had bought 5 ETH of Neiro early on. And he held it for eight weeks prior to the listing news and the token value skyrocketed by 1000%.
Likewise, another trader gained more than $500 000 by purchasing Neiro. That was only several minutes before the listing announcement became available to the public. This investment is risky as seen with meme coins particularly during such occurrences in the market.
The inclusion of Neiro, Turbo, and Baby Doge Coin in Binance is predicted to have a huge impact on the altcoin market. According to market analysts, if the price of Neiro continues to rise, it has the potential of rising to $0.08 or higher.
Likewise, the price of Turbo can be expected to rise to $0. 005 and may even rise even higher within the next couple of months. Also, Baby Doge Coin, which has grown by 43.89% in the recent trading period, is also expected to rise significantly.
New all-time high in its market capitalization may result from its listing on Binance and the community’s engagement. Nevertheless, due to numerous new listings, Binance reminds users to exercise proper diligence. It is better to avoid overtrading as these tokens are still in their infancy and come with higher risks.
Educational Measures and Trading Features Enabled by Binance
In an effort to reduce risks, Binance has provided educational information about these tokens and added new trading options for them. This will allow trading bots and spot copy trading for Neiro, Turbo and Baby Doge Coin. It will be available within 24 hours of their listing.
These tools seek to offer investors better ways of trading and ways of managing risks that are inherent in the market. The exchange will also make the users take risk-awareness quizzes every 90 days to be allowed to trade in these meme coins. These measures are among the steps Binance has taken to inform users of the possible risks and price fluctuations concerning the trading of newly listed tokens.
