BONK’s price pumped harder around Coinbase listing than any other crypto this year

Coinbase listed Solana’s adopted dog coin in the middle of its monumental rally — but the crypto exchange’s effect will likely wear off quickly

article-image

BONK modified by Blockworks

share

BONK, the dog coin currently at the heart of the Solana space’s hopes and dreams, holds the record for 2023’s biggest Coinbase pump.

Coinbase listings are a big deal for crypto projects. More users implies more volume, and more volume should mean higher prices, some might say.

But it seems the most bullish thing about making it to Coinbase isn’t the actual listing — but the lead up.

Take BONK. Mid-way through its pearl-clutching 18,000% pump, Coinbase posted on X to say it had added BONK to its listing roadmap.

Markets were taking a breather on BONK at the time. What was a $20 million community coin at the end of October had ballooned to a near-$900 million powerhouse by mid-December, and it was now looking at a 40% correction.

Coinbase listings generally happen in three stages: roadmap, confirmation of support and then fully-fledged trade.

  • BONK, on other crypto exchanges, tanked up to 27% about five hours after the roadmap announcement, during which time bitcoin remained flat. 
  • Nearly 18 hours later, Coinbase confirmed US dollar markets for BONK would open on the following day, at midday in New York. 
  • BONK rallied up to 50% in the meantime and more than doubled in the 18 hours after it hit Coinbase. 

Two days after its listing, last Friday, BONK was, for a moment, worth more than $2 billion. It has since retraced by two-fifths. 

More than $500 million in BONK has been traded on Coinbase since its listing

Despite its current pullback, BONK is still up nearly double since Coinbase confirmed its listing last Wednesday.

All Coinbase listings this year have pre-pumped

BONK may seem like an outlier, but it’s not alone. 

Coinbase has listed 15 other cryptocurrencies this year, and all went up in the time period between Coinbase confirming their listings and the actual listing taking place – save one, the Ripple-centric smart contract network, flare (FLR), which ended up even. 

Bitcoin, which generally leads the market, rose more than 2% alongside those cryptocurrencies on only two occasions. This indicates little correlation between the price of bitcoin and cryptocurrencies listed on Coinbase, at least in the short term.

(Liquid staking tokens, or tokens which already had trading history elsewhere weren’t included, as the effect Coinbase would’ve had on their prices would’ve been far less clear.)

BONK’s pre-list pump was beaten by another obscure cryptocurrency, DIMO, a token used to pay drivers for sharing their data. Coinbase confirmed its listing on April 17 and two hours later, DIMO had more than doubled before scaling back to 40% ahead.

The data suggests Coinbase’s X posts about new listings are indeed correlated with higher prices. The same can’t really be said for the actual listings.

BONK’s first-week Coinbase returns are easily the best of the year

Nine of the 16 cryptocurrencies analyzed ended the week after their Coinbase listings in the red, ranging from 36% down in the case of algorithmic stablecoin-adjacent Sperax, to the minus 5% recorded by osmosis (OSMO), the token for the Cosmos decentralized exchange token of the same name.

VOXIES, the crypto tied to the NFT universe, spiked up to 26% one hour after Coinbase confirmed its listing in February. It sank by nearly a third in the four days following.

More than half of Coinbase listings tank in their first week

It’s too early to tell how BONK will do at the close of its first week on Coinbase, as it’s only been trading on that venue for four days.

Still, BONK’s 128% rally in the 14 hours after its Coinbase listing holds the record for the year so far — more than double DIMO’s and VeChain’s second cryptocurrency, VeThor.

Whatever effect Coinbase listings have in immediate prices, they apparently diminish over a longer period. About half have gone down in the months since their listings, many by more than 50%.

Data availability asset celestia (TIA) and ad-hoc telecoms token helium (HNT) have exploded by up to 400% since their debuts. HNT joined Coinbase in July while TIA made it on Nov. 1.

Of course, these digital assets were added to Coinbase when crypto markets were relatively hot. Announcements of listings in proper bear markets may not have the same effect.


Don’t miss the next big story – join our free daily newsletter.

Tags

Upcoming Events

Hilton Metropole | 225 Edgware Rd, London

Mon - Wed, March 18 - 20, 2024

Crypto’s premier institutional conference returns to London in March 2024. The DAS: London Experience: Attend expert-led panel discussions and fireside chats Hear the latest developments regarding the crypto and digital asset regulatory environment directly from policymakers and experts.

Salt Lake City, UT

WED - FRI, OCTOBER 9 - 11, 2024

Pack your bags, anon — we’re heading west! Join us in the beautiful Salt Lake City for the third installment of Permissionless. Come for the alpha, stay for the fresh air. Permissionless III promises unforgettable panels, killer networking opportunities, and mountains […]

recent research

Top Icon.png

Research

Osmosis thrived in H2 2023 on the back of increased DeFi activity deriving from recently launched Cosmos-related projects and better market conditions. With new value accrual mechanisms for the native token, Osmosis is well-positioned to continue its strong performance in 2024.

/

article-image

Celestia had the first mover advantage. EigenDA has staked ether. What sets Avail apart?

article-image

Bitcoin moved 1% higher Monday morning in New York, Matrixport analysts say $62,000 could happen next month

article-image

It’s hard to believe right now that crypto — even with all of its flexibility and massive capabilities — could ever be like cash on the internet

article-image

Michael Saylor announced Monday morning that MicroStrategy bought 3k more bitcoin after the X account was compromised over the weekend

article-image

Plus, Pudgy Penguins grows its brand and a group of Autoglyphs sell for $14.5 million

article-image

Plus, funds go to a platform making development on Solana easier