CV Market Watch™: PIVX Rises on Binance Effect

PIVX rose after the Binance listing was announced, but the market still weighs down most digital assets.

PIVX (PIVX) had a robust run up in the last day, after news of being listed on Binance. The digital asset rose by up to 40% at one point, although now the gains are unraveling quickly.

PIVX stands for "private instantly verified transactions", a possibility seen as the Holy Grail of cryptocurrencies, especially as Bitcoin has become cumbersome and slow, and its privacy features are not that strong without special efforts.

At the moment, PIVX is highly volatile, trading on record volumes and moving erratically as Binance traders bid up the coin and some took profits. PIVX is available on Binance through BNB, BTC and ETH trading pairs.

PIVX Risk Profile

The Binance listing changed price pressures for PIVX, opening it up to the lucky traders who manage to get an account on the platform. Until recently, PIVX saw niche trading on Bittrex, as well as active bidding in Korea.

Now, Binance has taken a significant chunk of the trading, happening mostly in the PIVX/BTC pair. Time will tell how this would affect the price.

PIVX Problems

While PIVX may be easily traded, the coin still has wallet and sending issues. PIVX claims to be a proof-of-stake coin, with voting built into the wallet. However, for now, users continue to report a lot of bugs. Also, there are few use cases for PIVX, except for sending and withdrawing from exchanges.

At this point, PIVX remains a speculative asset, with some awareness for European investors as well:

Others have used the price differential to add gains:

Prices for PIVX have mostly equalized across exchanges now, and the above move was only possible around the time the Binance listing was announced.

The Binance Advantage

Coins listed on Binance benefit from liquidity against other crypto assets. At this point, Binance uses the BNB native coin to add liquidity, and avoid problems with handling fiat deposits. This has turned Binance from a niche exchange into an attractive hub. The exchange is very active in listing new asset pairs, and holds a community vote, adding some of the hottest trending crypto assets.

Coinbase Hires New VP Operations in Bid to Fix Customer Support Issues

However, Binance trading also adds to volatility and may lead to losses if a sale is not achieved soon enough. Also, some assets are seeing quite steep withdrawal fees.