Blue-chip cryptocurrencies are pumping on Wednesday amid a market-wide relief rally as traders digest recent news relating to Binance, the world’s largest cryptocurrency exchange.
News broke on Tuesday that Binance had reached deals with the US Department of Justice and Commodity Futures Trading Commission (CFTC) to settle to lawsuits by paying fines in excess of $7 billion, sending Bitcoin (BTC) briefly as low as the $35,700s.
But the cryptocurrency has since rebounded around 4.5% on Wednesday, with some analysts noting that 1) the Binance news hasn’t triggered a dramatic rush to withdraw crypto from the platform, whose reserves continue to look strong and 2) that the deal increases the likelihood that the SEC approves spot Bitcoin ETFs in the coming months.
Fears about Binance’s troubles with regulators and authorities in the US had been hanging over the crypto market head for months, and while a lawsuit with the SEC remains unsettled and outstanding, some analysts said that the latest settlement means less “FUD” (fear, uncertainty and doubt) in general for the market.
All crypto fear, uncertainty and doubt (FUD) has just been liquidated.
When the market finds a bottom on this Binance news, all sources of FUD from the last two years will have been eliminated.
The market is currently panicking on news headlines which have “guilty” and crypto…
— Charles Edwards (@caprioleio) November 22, 2023
Meanwhile, JP Morgan said that the Binance settlement removes “systemic risk” from the crypto market, which is a positive.
Bitcoin has subsequently swung nearly $2,000 higher versus earlier lows and was last trading in the $37,600s, with bulls eyeing a potential break to the north of resistance around $38,000.
Ether (ETH), meanwhile, was last trading in the $2,030s, up around 4% in the past 24 hours as per CoinGecko.
XRP (XRP), Solana (SOL) and Cardano (ADA) were all trading with gains of between 3-8% over the same time period.
Whilst sentiment in the broader crypto market is strong on Wednesday and risks are titled to more near-term upside for prices, risk-seeking traders looking to turn quick exponential profits will continue to turn to the shitcoin/meme coin markets in the hunt for better trading opportunities.
Here are some of the top performing low-market capitalization shitcoins, as per DEXTools.
PEPEPE ($PEPEPE)
A new shitcoin called PEPEPE ($PEPEPE) is the top performer on DEXTools on Wednesday, having pumped nearly 33,000% since its launch earlier in the session.
The token last had a market cap of around $3.3 million and just under $200,000 in liquidity and close to 260 holders.
But many are suspicious it could be a scam, as evidenced in its 75% downvote rating as per the DEXTools’ community trust score.
Indeed, its price pump has been driven by a relatively modest $215,000 in trading volumes and DEXTools’ security audit reveals that transfers may be pausable.
Changpeng Zhao ($CZ)
A shitcoin named after ex-Binance CEO Changpeng Zhao, who was just ousted from the exchange as part of a historic $7 billion legal settlement between the crypto exchange and US regulators, is pumping on Wednesday.
$CZ is up another 2,200% on Wednesday and its market cap was last around $8.7 million, according to DEXTools.
Its market cap was last just over $8 million, with around $315,000 in 24-hour trading volume and over 2,350 holders.
The cryptocurrency has seen impressive 24-hour trading volumes of around $10.5 million, but has two concerning aspects to its smart contract, as per DEXTools.
snapcat ($SNAPCAT)
A shitcoin called snapcat ($SNAPCAT) has seen a stunning more than 2,600% rise in the last 24 hours, as per DEXTools.
Its market cap was last around $8 million, with around $314,000 in liquidity and around 550 holders.
The pump comes amid very low trading volumes, however, suggesting a few big sell orders could easily see it reverse.
The token’s smart contract also has three concerning aspects to it, DEXTools’ security audit reveals, so potential investors should tread cautiously.
Crypto Alternatives to Consider
Shitcoins can offer huge potential returns but also come with a lot of risk.
Those looking for a better probability of near-term gains, an alternative high-risk, high-reward investment strategy to consider is getting involved in crypto presales.
This is where investors buy the tokens of upstart crypto projects to help fund their development.
These tokens are nearly always sold cheaply, and there is a long history of presales delivering huge exponential gains to early investors.
Many of these projects have fantastic teams behind them and a great vision to deliver a revolutionary crypto application/platform.
If an investor can identify such projects, the risk/reward of their presale investment is very good.
The team at Cryptonews spends a lot of time combing through presale projects to help investors out.
Here is a list of 15 of what the project deems as the best crypto presales of 2023.
See the 15 Cryptocurrencies
Disclosure: Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. By using this website, you agree to our terms and conditions. We may utilise affiliate links within our content, and receive commission.
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