After months of bearish momentum, the narrative around crypto markets is changing. With increased trading volumes and signs of optimism in the markets, exchanges stand to benefit the most. For this reason, tokens like BNB, Bitget, and PancakeSwap have registered double-digit price increases over the last week.
Multiple exchange tokens saw significant price increases on Monday, March 17. By far, the best performer was PancakeSwap, a BNB-based DEX token. It registered a 42.96% price increase in a single day and a 70.73% surge over the week, trading at $2.54.
The catalyst for its growth was its recent overtaking of Uniswap in daily trading volume. The BNB-based exchange’s lower trading volumes attract new traders to its platform, helping it overcome Uniswap’s first-mover advantage.
Uniswap was also up 6.16% over the last week, reaching $6.29, but it was outperformed by centralized exchange tokens, with many of the bigger ones posting double-digit gains. On Monday, Binance’s utility token BNB traded at $631.34, up 4.77% in the last 24 hours. Its performance over the past week was even more impressive, rising 18.38%.
PancakeSwap, CurveDAO, BNB Prices See Impressive Growth
Bitget tokens have also been up double digits over the past week, up 13.71% to $4.45. The OKB token’s rise was even more impressive, registering 25.2% growth over the past week. Crypto.com token Cronos was up 10.5%, while the DEX CurveDAO token was up 18.1%.
Several factors, including a general recovery in the crypto markets, influenced most exchange tokens’ strong performance. Notably, Bitcoin rose 6.41% in the last 7 days and is currently trading at $83,938. Typically, when Bitcoin rises, altcoins tend to outperform it.
When it comes to exchange tokens, their performance is directly tied to prices and volumes of crypto markets in general. Namely, exchanges get their revenues from trading volumes, and a portion goes to token burns. Higher trading volumes contribute directly to the demand for exchange tokens.
For this reason, the renewed optimism in the crypto markets directly benefits exchange tokens, both centralized exchanges (CEX) and decentralized exchanges (DEX).
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