Binance Shakes Things Up: Seed Tag Removed from Five Tokens
Big news from Binance! On July 21, the crypto exchange decided to ditch its Seed Tag designation from a handful of tokens: Pepe (PEPE), Pudgy Penguins (PENGU), Bonk (BONK), ether.fi (ETHFI), and EigenLayer (EIGEN).
What’s the Deal with the Seed Tag?
For those that may not know, Binance’s Seed Tag is sort of a flashing caution light for brand spanking new or particularly volatile assets. It’s a heads-up for traders that these tokens may be riskier than your average crypto fare. Before diving in, traders need to finish quizzes to make sure they understand what they’re entering into.
But now, the Seed Tag is gone for these five tokens. What does that mean? Essentially, Binance thinks these projects have matured and now have a risk profile that does not need that extra warning label anymore.
Behind Binance’s Decision
So, why the change of heart? Binance says they conducted an intensive review of those tokens, considering aspects like team commitment, development activity, trading volume, liquidity, network security, and transparency. They also took a have a look at how well these projects are playing by the principles and interesting with their communities.
The company emphasized that projects must consistently hit high marks for performance, security, and transparency. They also thanked users for his or her continued support as they work towards making the crypto world more transparent and sustainable. Nice move, Binance!
Community Reactions: Mixed Feelings
The news didn’t go unnoticed on social media, sparking a mixture of reactions. Some users wondered why other tokens remain on the exchange’s “red alert” list. One trader on X warned, “These coins are volatile enough without the extra hype, hope traders don’t get burned chasing this.”
Pudgy Penguins: The Big Winner
Among the tokens, Pudgy Penguins (PENGU) really took off following the announcement. It surged by 25.41% in only 7 hours, reaching $0.03909 from $0.03127. It’s now just 31% shy of its all-time high of $0.05738.
PENGU is linked to one in all the top-ranking NFT projects by market capitalization, and its value has jumped over 34% previously week, boasting a whopping 315% rally since June 21.
PENGU Price evaluation chart. Source: ricsitarjan on X
Looking on the each day chart, PENGU appears to be forming an ascending triangle pattern. It’s bounced from a low of around $0.03032 to as high as $0.03932. Traders at the moment are eyeing the $0.040000 resistance level as the subsequent potential breakthrough.
Other Tokens on the Move
Bonk (BONK) saw a modest 3.32% bump within the last 24 hours, likely due to the Binance tag removal news.
Meanwhile, the PEPE memecoin is holding regular at $0.00001419 after the update, up about 2.5% from its intraday highs. Technical analysts have spotted a falling wedge pattern in its one-day chart, which could signal a bullish reversal.
Cryptopolitan Academy: Tired of market swings? Learn how DeFi can make it easier to construct regular passive income. Register Now
Image Credit: cryptorank.io
