RONIN Drops 18% Despite Binance Listing
Binance finally lists RONIN, but the token dropped 18% in the last 24 hours. Despite the decline, RONIN is still enjoying a positive year.
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The world's largest exchange, Binance, has announced the listing of RONIN with trading starting on February 5, 2024, at 13:30 UTC. Withdrawals for the token will be open by February 6.
RONIN is the native token for the Ronin blockchain, the EVM-compatible network for Web3 gaming. The network hosts one of the most successful web3 games ever, Axie Infinity.
According to Binance, the token would have the Seed tag label when listed. This tag is due to its relatively new status in the exchange and the risks that come with new tokens.
Binance uses the tag for innovative projects with high volatility. As long as a project has the tag, investors must take a quiz every 90 days to ensure they know the risks before they can.
RONIN Price Performance
Following the news of its listing, the token rose from $3.277 to as high as $3.538. But the rally was short-lived as the token has dropped more than 18% today and is now trading at $2.685. This decline is surprising because a Binance listing usually leads to a sustained rally.
Despite the drop today, RONIN is still up 4% in the past seven days and has gained almost 50% in 30 days. This shows that the token has been doing great even before the listing. RONIN's positive performance extends back into 2023 and it has seen over 300% gain in 90 days.
The token has been around since January 2022, with listings on several exchanges. This is likely why the Binance listing did not move the needle for its price.
Its most recent price surge is due to the sale of a rare Axie Infinity non-fungible token for 105 ETH (about $246,000). The King Durendal NFT is one of the three Agamogenesis axies and was initially sold for 6 ETH in 2018.
What is Ronin Blockchain
Ronin is an Ethereum sidechain specifically designed for Web3 games. The network has been around since February 2021 using a Proof of Authority mechanism. Due to its unique capabilities, it has been home to Axie Infinity and enjoyed massive activity in 2021.
However, the $622 million hack of the Ronin Bridge in March 2022 affected the network. With Axie Infinity pausing operations for a while, Ronin network transactions also plummeted. Even after Axie Infinity returned, the network continued to struggle. But 2023 was its comeback year like the rest of crypto.
Ronin blockchain switched to Delegated proof of stake in April 2023 and has had several upgrades since then. Earlier this year, it also announced that it will start supporting other blockchains, including BSC and Polygon, while also integrating the Binance Pay feature.
Beyond the technical upgrades, the network has also seen increased activity since late 2023. This is primarily because of the migration of games such as Pixels, The Machines Arena, Civitas, and Tribesters: Island of Zolas to the network.
Pixels, in particular, had been responsible for the resurgence of the Ronin network after migrating from Polygon. Since it deployed on the network, activity has increased significantly.
