The price of the Shiba Inu cryptocurrency has spiked after trading platform Coinbase Pro announced that it is working towards listing it, as well as the Chiliz, and Keep Network tokens.
The price of Shiba Inu was up around 27 percent on Wednesday morning EDT to $0.0000090 with a market cap of $3.5 billion, according to CoinMarketCap.
Meanwhile the Chiliz token is up 26.7 percent to $0.35, with a market cap of $2.1 billion. The Keep Network token was up 12.5 percent to $0.6, with a market cap of around $317 million.
The trading volume of all three tokens—a measure of how much of a cryptocurrency is traded within 24 hours—is up sharply.
Experts have previously told Newsweek about the dangers and risks involved in trading cryptocurrency.
The spikes comes as a petition to list Shina Inu on trading platform Robinhood nears the 150,000 signature milestone. The petition was launched around a month ago.
Robinhood currently supports Bitcoin, Bitcoin Cash, Bitcoin SV, Dogecoin, Ethereum, Ethereum Classic, and Litecoin.
On Tuesday, Coinbase said the three altcoin tokens would be available only for inbound transfer on Coinbase Pro—the professional-level trading service offered by Coinbase.
It said that trading of the tokens would launch by 9 a.m. PT (12:00 p.m. EDT) on Thursday, June 17, if the coins establish enough liquidity on the platform by that time.
Trading is due to launch in three phases: post-only, limit-only, and then full trading. Coinbase said in a statement: “If at any point one of the new order books does not meet our assessment for a healthy and orderly market, we may keep the book in one state for a longer period of time or suspend trading as per our Trading Rules.”
Liquidity is important in cryptocurrency and in the world of finance more widely. It is a measure of how easy it is to trade a given asset, such as a cryptocurrency token, without affecting its price.
For this reason traders tend to prefer markets or assets that have good liquidity, because it means it is easy to buy and sell on those markets, according to CoinMarketCap. On the other hand, it may be difficult to buy and sell tokens with bad liquidity. Bad liquidity may also mean the token’s price would change if it is traded.
Cryptocurrencies like Bitcoin and Ethereum are considered to have good liquidity, according to Binance, which is reflected in their high trading volumes.
However, Binance states that “many other coins face a significant lack of liquidity in their markets” and says “this is especially important when it comes to trading altcoins.”
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