- PYTH’s social metrics soared after Binance made the announcement.
- Some market indicators suggested that the price decline could continue.
Pyth network [PYTH] recently came into the spotlight thanks to the world’s largest crypto exchange. The big news was that Binance announced plans to list PYTH on the exchange, sparking excitement among crypto investors as such episodes are often followed by bull rallies.
Will Binance Help Pyth?
According to the official announcement, PYTH will open for trading on Binance on February 3 at 12 UTC. It will trade in the pairs PYTH/BTC, PYTH/USDT, PYTH/FDUSD and PYTH/TRY.
#Binance will enumerate @PythNetwork $PYTH applied with Seed Tag.
???? https://t.co/a1MYNiAKbA pic.twitter.com/wzU5eOJPq7
— Binance (@binance) February 2, 2024
Thanks to this announcement, the token’s social metrics have increased significantly in recent days. AMBCrypto’s look at Santiment’s data revealed that PYTH’s social volume peaked on February 2, 2024.
Apart from that, bullish sentiment around the token also increased, as evidenced by the increase in weighted sentiment.
Source: Santiment
The rise in bullish sentiment was no surprise, as listings on major exchanges such as Binance often trigger price increases. In fact, CoinMarketCap’s facts revealed that PYTH is up more than 19% over the past seven days.
However, things did not go as expected as PYTH’s daily chart turned red. In the last 24 hours alone, Pyth Network fell 4.8%. At the time of writing, PYTH was trading at $0.4645 with a market cap of over $696 million.
A closer look at the state of PYTH
To understand whether Binance’s listing will actually help PYTH’s appreciation further, AMBCrypto planned to check the daily chart. Our analysis showed that the chance of a sideways price movement in the short term was high.
This seemed to be the case when Pyth Network’s Money Flow Index (MFI) went sideways.
A similar trend was also noted in terms of the Relative Strength Index (RSI). Furthermore, PYTH’s MACD showed a bearish crossover, which could cause a further decline in the token’s price.
Nevertheless, the Chaikin Money Flow (CMF) looked bullish as it registered a slight increase above the neutral line.
Source: TradingView
Realistic or not, here it is The market cap of PYTH in BTC conditions
Things looked optimistic in the derivatives market for PYTH. The token’s open interest recorded a downward trend along with its price.
When open interest falls, it indicates that a trend reversal may occur. Furthermore, the funding rate remained green, meaning futures investors were actively buying PYTH.
Source: Santiment