$BTC Binance periodically removes trading pairs that do not meet Binance’s requirements, most notably lack of liquidity.
Recently, Binance announced the removal of three spot trading pairs:
PEPE/TUSD, DCR/BTC, and ZEN/ETH
Effective on December 13, as part of its periodic reviews to ensure market quality and liquidity.
The company clarified that the removal of spot trading pairs does not mean the removal of the currencies themselves, as they can be traded via other pairs available on the platform.
The impact of the measure on cryptocurrencies:
PEPE: Down by 7% throughout the day, a decline that may be linked to the removal of the pair and also to a general decline in the meme coin market.
DCR: Down by 4%.
ZEN: Recorded a slight increase of 2%.
Similar announcements often cause a decline in the prices of the affected currencies due to lack of liquidity and negative reputation.
In previous cases, such as Monero (XMR) and others, the removal of services has led to significant price drops of up to 20%.
In contrast, listing new currencies or services often leads to significant price increases.
For example, PONK rose 15% after the announcement of the listing of perpetual contracts, and CAT saw a significant surge when perpetual contracts were launched on it last October.