Robinhood Frustrations highlight centralized and decentralized cryptocurrency exchanges! Investors with Robinhood frustrations are helping to drive several of these exchanges’ tokens to new highs.
Last week, GameStop (GME) and other stocks were involved in a battle between a short-selling hedge fund and a Reddit group. This drove the stocks in question, including GameStop and AMC, into a short squeeze. Some of that buying excitement has spilled into crypto, where trading volume has risen over the past week.
Binance’s BNB token hit a new all-time high at $50.27 during early US trading hours on Monday. FTX’s FTT token logged a record high of $12.95 on Friday.
“ATH [all-time highs] on a few different matrices” [for BNB], Changpeng Zhao, chief executive of Binance, tweeted earlier Monday.
The new all time highs for BNB and FTT likely resulted from a shift from traditional markets to the cryptocurrency market by retail traders.
FTX listed a WallStreetBets index quarterly futures contract in an attempt to capitalize on the retail trading frenzy that hit the fan last week. The basket of stocks include GameStop, Nokia, BlackBerry, AMC, and SLV.
DeFi exchanges have seen an uptick as well, with UniSwap and SushiSwap, the two leading DEX’s, soaring to 48.8% and 23.3% of trading volume for all DEX’s respectively.
Retail traders appear to be driving price movement. Google searches for UniSwap are almost as high as last year’s DeFi summer boom. The rise of DeFi exchanges highlights and reflects growing Concerns for centralized trading platforms – it also shows intense interest for DEX’s.
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