As the WSB and GameStop saga continues, the phenomenon spills over from traditional finance to contaminate cryptos. According to the exchanges, many users have recently signed up to participate in what can only be called speculative excesses. The iconic cases of the last few days being Ripple XRP and Doge , which have seen extreme volatility.
Binance Coin and FTT at record highs
If the fluctuations of many tokens raise questions, there are others who profit from them in a legitimate way. Namely the cryptos of exchange exchanges such as Binance or FTX . Yesterday, BNB crossed the $ 50 mark for the first time in its history. FTX’s FTT token flirted with $ 13 on Friday. This is the materialization of trading volumes at record levels.
According to John Todaro, Director of Institutional Research at TradeBlock, these new traders come from traditional finance. He believes that the restrictions imposed by RobinHood on the purchase of certain securities has pushed them into cryptos. Personally this explanation does not convince me too much. Cryptocurrency exchanges have their own recurring dysfunctions, for example. The reason is, in my opinion, more down to earth. The highly publicized WSB / GameStop phenomenon attracted many individuals who had never traded before. Upon discovering the stock market, they were exposed to cryptos and got sucked in.
The DeFi sector is also benefiting
Decentralized exchanges are also benefiting from this new craze for cryptos. In January, they recorded record volumes of over 50 billion, according to Dune Analytics. Or a record. Uniswap is the undisputed leader (nearly 50% of volumes). SushiSwap is solid second with more than 23% of the volumes of decentralized exchanges. UNI and SUSHI are up about 50% and 70% respectively over one week.