My Crypto Lawyer
On February 6, Binance announced the delisting of Monero (XMR) and three other cryptocurrencies from its services on February 20. Monero experienced a massive panic sell-off following the announcement.
However, the cryptocurrency market already expected the delisting, as Finbold reported on January 4 this year. On this occasion, Binance labeled XMR under its “Monitoring Tag,” providing a clear signal to the market that led to this most recent announcement one month later.
As for the next steps, the centralized exchange will remove four currently available Monero pairs on February 20. The pairs are XMR/BNB, XMR/BTC, XMR/ETH, and XMR/USDT. Binance will disable Monero deposits the next day, but investors will have three months to withdraw their coins.
Besides XMR, the leading crypto exchange will also delist Aragon (ANT), Multichain (MULTI), and Vai (VAI) under the same conditions. Investors will need to use Binance alternatives to trade these coins.
Monero price analysis amid Binance delist
Notably, Monero took a massive hit with Binance’s delisting announcement. So far, XMR has registered over 35% in losses from its price before the news to the current lowest values. The privacy coin was trading at $165.86 and has gone to as low as $107.36 by press time.
From a technical analysis perspective, Monero has price support just below psychological support at $100. Failing to hold these levels could lead to targets at $75 or even $50 per coin in the following weeks.
At this point, the market has not fully digested all the consequences of losing a massive liquidity pool on Binance. Therefore, investors might see further sell-offs as things develop moving forward. Other exchanges or ramp services may be affected by this delisting, causing more panic selling events.
Nevertheless, cryptocurrency traders are also known for aggressive reactions when facing fear, uncertainty, and doubt (FUD). Thus, this first sell-off could have been an overreaction, dropping Monero’s price to an oversold Relative Strength Index (RSI).
Additionally, some Monero enthusiasts have celebrated the delisting on X (formerly Twitter). These contributors believe this event will fuel positive developments in the open-source and decentralized landscape, positively affecting XMR.
In conclusion, the crypto market remains an unpredictable speculative environment. XMR could slightly recover from here or drop even further. Investors, users, and developers must remain cautious, as anything can happen in the short- and mid-terms.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
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