"Binance's New Token listings: A Pump and Dump Cycle?"

The crypto exchange listing conundrum continues: Why newly listed tokens keep crashing

Newly listed tokens on crypto exchanges often experience wild price swings, mirroring the volatility of the stock market. Binance, a popular exchange for these listings, offers traders high-risk bets and the chance to capitalize on the next big market sensation. However, a closer look at Binance's listings reveals a concerning pattern: most new tokens follow a predictable pump-and-dump cycle, with little to no recovery.

Since the start of the year, many new token listings at centralized exchanges, including Binance, have followed a similar pattern. Prices skyrocket within hours of listing, only to crash soon after and stabilize at lower levels. A review of Binance's new listings shows that most tokens have experienced significant price drops:

• LAYER (DeFi) – Listed on Feb. 11, dropped 50% from its listing high.
• TST (Memecoin) – Listed on Feb. 9, dropped 80%.
• BERA (L1 Blockchain) – Listed on Feb. 5, dropped 38%.
• ANIME (Culture Coin) – Listed on Jan. 22, dropped 74%.
• TRUMP (Memecoin) – Listed on Jan. 19, dropped 82%.
• SOLV (DeFi) – Listed on Jan. 17, dropped 78%.
• COOKIE (MarketingFi) – Listed on Jan. 10, dropped 74%.
• AIXBT (AI) – Listed on Jan. 10, dropped 67%.
• CGPT (AI) – Listed on Jan. 10, dropped 68%.
• BIO (Biotech) – Listed on Jan. 3, dropped 88%.

Only Berachain (BERA) appears to have a chance at rebounding, thanks to strong fundamentals and an engaged community. The fate of KAITO (an InfoFi token that was listed on Feb. 19) remains uncertain. However, across every sector—DeFi, AI, memecoins,