What Are The Major Price Drivers of a Coin/Token’s Price???
In this series, we are going to tackle the major drivers of a cryptocurrency’s price.
Over the years, the major price driver we have all gotten accustomed to is exchange listing. It is a known fact that if a cryptocurrency is listed on Binance, the largest crypto exchange by daily trading volume, the digital asset gains enormous traction within the crypto economy.
A great example of this can be attributed to $FOGO cryptocurrency which was listed on Binance on January 15, 2026. The digital asset opened the day at $0.04419, rose to an intraday high price of $0.06326. Trading volume for the day was $338 million. Daily trading volume and market capitalisation of $182 million remains the best metrics for the #cryptocurrency .
The second one, I would like you know is Staking. Staking is where you contribute tokens to support a Proof-of-Stake (POS) network.
Major staking announcements has impacted the price of numerous digital assets. Lets take Cardano ($ADA ) for example which triggered staking rewards in July/August 2020. ADA generated about 47% in gains from $0.08 to $0.1227. The certainty of staking rewards reflected in daily trading volumes (some daily trading volumes crossed $700 million.
Lastly, I want to highlight adoption of the token by mainstream companies. Many companies have made several announcements regarding acceptance of a token as a medium of exchange (utility token).
$APE IS a great example of this. On August 2, 2022, Gucci became the first luxury brand to accept APE as a payment method.
ApeCoin opened the day at $6.66 and reached a month-high price of $7.68. Overall, Gucci’s announcement brought in about 15% increment.
These shows that as a trader you must keep your eyes on exchange listings, staking rewards as well as adoption by major companies.
