This Meme Coin Jumps by 50% Following Further Support From Binance

As a seasoned crypto investor with a knack for spotting opportunities, I can confidently say that Binance‘s recent move to support Simon’s Cat (CAT) has been nothing short of a masterstroke. Having witnessed the meteoric rise and fall of numerous meme coins in the past, I approached this development with a mix of skepticism and curiosity.

TL;DR

  • Binance expanded support for Simon’s Cat (CAT) by including it in multiple trading programs.
  • The token reacted to the news with a rapid price increase.

The Binance-Fueled Pump

Recently, the largest global cryptocurrency exchange has expanded its support for a meme coin born on the BNB chain – Simon’s Cat (CAT). Initially, it was listed in its HODLer Airdrops Portal, which distributes tokens to BNB holders according to their balance records at specific points in time.

When you sign up for the Simple Earn service with BNB, you become qualified to receive HODLer Airdrops, along with benefits from Launchpool and Megadrop programs, according to Binance.

The organization announced that they plan to give away a total of 1,143 billion CAT tokens (representing approximately 12.7% of the token’s total supply) to fortunate participants.

Following the listing, the meme coin was added to Binance with a “seed” label. The trading pairs offered to users include CAT/USDT, CAT/BNB, CAT/FDUSD, and CAT/TRY. It’s important to note that the “seed” tag signifies new or innovative cryptocurrency projects in the crypto market, which may come with increased risk and volatility.

Today (December 17), Binance strengthened its backing for Simon’s Cat by integrating it into multiple services such as Binance Simple Earn, the “Buy Crypto” option, Binance Convert, Binance Margin, Binance Auto-Invest, and Binance Futures.

Predictably, as previously mentioned, these endeavors led to a significant surge in CAT’s price. Its value skyrocketed by around 50% on a daily basis, reaching an unprecedented peak of $0.00006330 (according to CoinGecko’s statistics). In the subsequent hours, the price dipped slightly, now standing at $0.00005597.

The Previous Support

In October of this year, Binance adopted Simon’s Cat by launching perpetual contracts with the ticker symbol 1000CATUSDT within its futures platform. These contracts offer up to 75 times leverage and have a multi-asset mode feature, allowing traders to utilize various margin assets such as Bitcoin (BTC) when engaging in transactions.

As an analyst, I can explain that perpetual contracts enable me to speculate on the price fluctuations of a specific token without having to own it outright. Unlike traditional contracts, these have no expiration date, meaning they can be held indefinitely. While these contracts present potential for substantial returns, their high leverage and constant risk of liquidation due to market volatility make them inherently risky, particularly for novice traders.

Other humorous cryptocurrencies that have recently received a boost from Binance are Peanut the Squirrel (PNUT), Pepe (PEPE), Ponke (PONKE) and several others that have also gained traction.

Read More

2024-12-17 23:20